Irish Residential Properties REIT, Ireland's largest private residential landlord, said it continues to see strong demand dynamics for rental properties in Ireland, adding that it remains in a strong financial position.
In a trading update for the three months to the end of September, I-RES REIT said that occupancy levels across its portfolio continue to remain strong and stood at 99.5% at the end of the reporting period.
The company said its strategic asset recycling programme continues to yield strong results.
I-RES has closed 36 sales year-to-date with an additional 12 sale agreed, and it said it remains on track to deliver on its disposal target of 50 units in 2025.
"The sales values we are achieving demonstrate both the quality of our assets and the strength of the underlying market and are trending meaningfully ahead of original expectations of 15-20% premia, with the premia achieved versus book value now in excess of 25%," it added.
I-RES REIT also said it remains on course to deliver a full-year 2025 Net Rental Income margin in line with the margin reported in the first half of the year of 78%.
"The company remains in a strong financial position, underpinned by a robust balance sheet and high-quality assets," it said.
"Reflecting the impact of continued disposals, LTV has reduced to 44.8% at 31 October 2025 (45% at 30 June 2025), well below the 50% limit set out by the company's debt covenants and Irish REIT legislation," it added.
I-RES said it welcomed the proposed suite of revised rent regulations announced by the Government in June, saying it believes will provide positive steps to addressing the viability challenge for the delivery of new apartment developments.
It said that although the proposed new rules will not take effect until March 2026, IRES is already seeing an increase in market liquidity and improving sentiment amongst developers.
It said this will lead to increased growth opportunities for the company, which, in the first instance will be executed through recycling internally generated capital into portfolio enhancing acquisition opportunities.
"The company believes that the proposed regulation changes, along with improving market dynamics, will provide future growth opportunities and enable the company to deliver improved shareholder value creation over the medium- to long-term," it added.
Eddie Byrne, CEO of I-RES, said the company was pleased to report another quarter of strong progress and are encouraged by the continued positive momentum of the business.
"We are particularly pleased with the execution of our recycling programme which is delivering very strong premia ahead of our original expectations and, which will further strengthen our financial position," the CEO said.
"We will continue to consider all opportunities to enhance shareholder value, including using internally generated funds to recycle capital into new assets which enhance the quality and income profile of our portfolio," he stated.
"The combination of revised rent regulations and the significant Government initiatives will accelerate apartment construction and enhance the positive macro backdrop for the business. We are confident in the long-term market opportunity which is underpinned by our high-quality portfolio and market leading operating platform," he added.
