Ires Reit sees 30% jump in rental income through portfolio growth

Also, Hibernia REIT has announced plans to buy back €25 million in shares.

The company operates 41 buildings in Dublin and one in Cork. Picture: iStock

Net rental income grew more than 30% from €22.7 million last year to €29.6 million as of June 30. This was largely due to acquisitions in the 12 months from July 2019 and organic rental growth.

The company now operates 41 buildings in Dublin and one in Cork.

CEO Margaret Sweeney said that despite the impact of the pandemic, monthly rent collections have been consistent at about 98% and occupancy has remained stable at around 97.9% for the residential portfolio. 

"Our residents base is diversified and currently the underlying demand for good quality rental accommodation, professionally managed and in the mid-tier range, remains strong," she said.

"While social and economic uncertainty is likely to continue due to Covid-19, I believe the ongoing supply constraints and resilient demand drivers for housing in Ireland will underpin the performance of the Company for the remainder of the financial year and beyond."

Separately, Hibernia REIT has announced plans to buy back €25 million in shares. The purpose of the Share Buyback Programme is to reduce the Company's share capital and it is planned to cancel the repurchased shares. The programme began this week and may continue until the end of February 2021.

Kevin Nowlan, Hibernia’s Chief Executive Officer, said their business is in a strong position with good rent collection figures and a robust balance sheet.