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Irish
Residential
Properties
REIT plc
Investor
Presentation
EPRA CONFERENCE
SEPTEMBER 2021
Building
Communities
& Creating
Value
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 1 1
IRISH RESIDENTIAL PROPERTIES REIT PLC (established 2013, securities listed on Euronext)
Key Investment Highlights
Ireland’s largest private landlord with a strong track record of accretive growth since inception
Highly attractive market underpinned by strong economic fundamentals and significant demand /
supply imbalance
Operational excellence leveraging on ‘best-in-class’ asset and property management expertise
High quality asset base with defensive characteristics supporting strong occupancy levels, turnover
rates and yields
Flexible development plan associated with a disciplined capital allocation policy
Clearly defined and prudent financial policy
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 2
IRES REIT – Continuing strong growth and financial performance
› Ireland’s largest private residential landlord; c. 2% market, with 3,836 units across 36 properties1
Attractive Portfolio Delivering
Sustainable Long-term Returns › Modern diversified portfolio in mid-tier segment, average age of assets 12 years1,2
› Gross yield, IFRS valuation - 5.5%1
› Net Rental Income increased in H121 by 5.9% yoy with strong NRI margin of 79.5%1
Resilient Financial & Operational › Active stakeholder engagement throughout COVID-19 pandemic
Performance despite Covid-19
› Occupancy 98.6% and strong rent collection rates of 99%1
› c.45% portfolio unit growth over the last 3 years
Clear Investment & › Accretive growth strategy – acquisitions, forward purchases and development
Growth Strategy
› Pipeline for growth of c.18% in the portfolio
› Recent recycling of assets, through acquisitions and dispositions
› Robust balance sheet, strong liquidity, debt maturities from 2024 – 2032
Robust Capital › LTV of 41%1
Structure
› €187 million of committed undrawn debt under bank facilities
1 at 30 June 2021; 2Based on average age since development
3
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021
CONTINUING GROWTH IN REVENUE, EARNINGS AND DIVIDENDS
Revenue from Investment Properties Total Property Value
› Occupancy robust at 98.6%1 (30 June 2020:
97.9%)
5.6%
€74.7m
€1,458m
€62.1m
› NRI margin remains strong at 79.5%1 (30 June 5.5% yoy
€1,380m
2020: 79.2%) €39m
€1,359m
FY 2019 FY 2020 H1 2021
› Rent collection rates stable at 99.0%1 EPRA Earnings
› Continued growth in earnings €33.1m €34m
11.9% yoy
€18m
› Continued growth in dividends
FY 2019 FY 2020 H1 2021 FY 2019 FY 2020 H1 2021
1 at 30 June 2021
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 4
MODERN RESIDENTIAL PORTFOLIO WITH STRONG OPERATING METRICS
4% €2,500
59%
1% S outh Dublin
28%
Well diversified across attractive Dublin locations North Dublin
11%
West Dublin
✓ Existing portfolio well diversified across Dublin locations with good
11% LOCATION City Centre
employment and public transport
23%
✓ 1 property in Cork West City
26% Cork
5
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021
PORTFOLIO
TO BUILD A SUSTAINABLE AND RESPONSIBLE BUSINESS
FOCUS IN 2021
› Development of Sustainable strategy and business planning
› Board Sustainability Committee established
Access the Reports here: › Annual ESG Report published in March 2021
BPR https://prodapp.epra.com/media/EPRA_BPR_Survey_Report_2021_FINAL_1632145123801.pdf
sBPR https://prodapp.epra.com/media/EPRA_sBPR_Report_2021_Final_1631885806255.pdf › Bakers Yard new development, designed to LEED Gold standard
› Training and development across the organisation
› First public submission to GRESB, results expected October 2021
MATERIALITY MATRIX1 - SUSTAINABILITY FOCUS AREAS
Sustainability Governance & Data privacy & security
1 Health, Safety & Well-being 5 9
Strategy
2 Business Ethics & Compliance 6 Climate Change 10 Employee Attraction & Retention
3 Resident/Tenant Satisfaction Sustainable Supply Chain
7 Investment & Development 11 Practices
4 Environmental Management 8 Asset Management
1 Following consultation with key stakeholders
IRES REIT PLC l INTERIM RESULTS PRESENTATION l SEPTEMBER 2021 6
FLEXIBLE GROWTH PLAN ASSOCIATED WITH A DICIPLINED INVESTMENT AND
CAPITAL ALLOCATION PROCESS
Multi-channel growth strategy…
1 2 3
Acquisition of completed Development of existing
Development partnerships
assets I-RES properties
• Continued evaluation of • Forward purchase • Partially completed
new acquisition agreements with local foundation infrastructure
opportunities builders and developers (e.g. parking) already in
place at Rockbrook site
• Diverse and attractive • Targeted new supply of
locations that meet the multi-family and single- • Opportunity to add
following conditions: family units approx. 543 apartments to
currently owned I-RES
− Good transportation • Currently 130 units due
properties
links under forward purchase /
development agreements
− Community
in place
infrastructure – in
particular schools • Fixed price contracts
− Local employment
− Family-friendly
neighbourhoods
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 7
CONTINUED EXECUTION OF GROWTH STRATEGY DESPITE COVID-19
Investment Activity Continued through 2020 and 2021
95 5 151 148
55 18
Inbuilt
# Units
3,836 portfolio
3,739 3,688
3,666
growth
+18%
FY 2019
FY 2020
Jan-21
Waterside
Cross West
conversion
Phoenix
Hansfield
Priorsgate
Disposal
Wood II
Tallaght
Current Portfolio (June 2021) 3,836
Under construction (Bakers Yard) 61
Waterside Hansfield II Phoenix
Forward purchases (Merrion due) 69
Acquisitions Forward Purchase Forward Purchase Acquisition
Development sites with Planning Permission 543
Date delivered Q1 2020 August 2020 Jan 2021
Pipeline 673
Units 55 95 146
Investment €18.5m €31.1m €60m
Gross Yield 6.9% 6.6% 5.3% IRES Proforma Portfolio 4,509
AMR €1,800 €1,734 €1,786
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021
STRONG EXECUTION ON A SUSTAINABLE GROWTH STRATEGY – 2021 PROJECTS
ACQUISITIONS DEVELOPMENT IN PROGRESS FORWARD PURCHASE IN PROGRESS
M50
Phoenix Park Racecourse, Dublin 15 M50 Bakers Yard, Dublin City Centre Merrion Road, Dublin 4 M50
› 146 units, adjacent to the Phoenix Park, › 61 units, designed to LEED Gold standard › 69 units, South Dublin coastal location
largest enclosed park in any European city
› 6.1% gross yield (year 1)1 › 5.1% gross yield (year 1)3
› 5.3% gross yield
› Target completion H1 20222 › Target completion 20222
1 Assumes Part V sold; 2 Dependent on unforeseen restrictions arising in the future due to the Covid-19 pandemic; 3 Updatedto reflect the prevailing market condition
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 9
IRISH MARKET - FUNDAMENTALS SUPPORTIVE OF LONG-TERM GROWTH
Strong Continuous Population Growth
Low Rental Stock Available
5.5m 1.6m 18,000 Dublin Elsewhere
16,000
5.3m 1.4m 14,000
5.0m 12,000
1.2m
10,000
4.8m
#units
5.4m
5.2m 1.0m 8,000
4.5m 5.1m
4.8m 4.9m 6,000
4.7m
4.3m
4.6m 0.8m 4,000
2,000
4.0m 0.6m
0
2010 2015 2019 2020 2025 2030 2035
2013
2007
2008
2009
2010
2011
2012
2014
2015
2016
2017
2018
2019
2020
2021
Ireland Dublin (RHS)
Source: UN Population Growth Forecasts Source: IIP; Ronan Lyons
Housing Demand Remains Above Supply PRS Rent Index Q1 2021 (YOY Change, %)
50 Population
growth alone will
40 create an on-
going need for
30 c.30,000 homes
#units 000’s
nationwide per
20 year, before
Rent growth remained positive. 5Q
accounting for
10 (highest rents) softened most
obsolescence and
reducing
0
1970s 1980s 1990s 2000s 2010s 2020s 2030s 2040s household size
-10
Natural increase Net migration
Total National Annual Demand
Source: RTB
Source: IIP; Central Bank (Est. Housing Demand)
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 10KEY INVESTMENT ATTRACTIONS OF IRES REIT
Attractive and Growing Irish Multifamily Sector
Favourable population Structural housing Strong Irish Yields on multifamily Growth and strong
demographics supply / demand economic assets remain job creation
and trend towards imbalance fundamentals attractive, index continuing
smaller households linked rents
Business fundamentals remain strong and IRES well positioned
Strong track record & Modern portfolio with Robust balance sheet Internalisation of Effective capital
proven execution on strong operating metrics with funding cost c.2% management and allocation and
strategy operating platform value creation
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 11ROCKBROOK | DUBLIN 18 TIME PLACE | DUBLIN 18
APPENDICES
ELMPARK GREEN | DUBLIN 4
WATERSIDE | MALAHIDE PHOENIX PARK RACECOURSE | DUBLIN 15
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 12 9DIVERSE PORTFOLIO IN THE DUBLIN AREA IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 13
ACQUISITION DEVELOPMENT PARTNERSHIPS DEVELOPMENT EXISTING ASSETS
INVESTMENT: 146 UNITS AT CASTLEKNOCK, DUBLIN 15
M50
Phoenix Park Racecourse, Castleknock, Dublin 15
Purchase Price1 €60 million Gross Initial Yield 5.3%
Year built Phased 2002-2020 Closing date January 2021
Total units 1 bed 20 3 bed 13
146
2 bed 113 4 bed -
Location Western Dublin suburb of Castleknock (6kms to Dublin City Centre),
adjacent to the Phoenix Park, largest enclosed park in any European city
Transport Close to the City Centre, serviced by Ashtown train station and local bus
infrastructu services, and the M50 national motorway network
re
Local Schools, sporting facilities, shopping and employment, in a sought after and
Ameniti mature residential location
es
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 1 Including VAT but excluding other transaction costs 14ACQUISITION DEVELOPMENT DEVELOPMENT EXISTING ASSETS
PARTNERSHIPS
FORWARD PURCHASE IN PROGRESS: DEVELOPMENT AT MERRION ROAD, DUBLIN 4
Merrion Road, Dublin 4 M50
Acquisition €47.16m Gross Yield 5.1%2 (Apr-21)
Contract (Year 1)
5.6% (Nov-18)
Price1
Contracted date November 2018 Expected closing date3 H1 2022
Total units 1 bed 12 3 bed 14
69
2 bed 43 4 bed -
Location South Dublin coastal location adjacent to hospitals, embassies and
universities
Transport Close to the City Centre, walking distance to local bus, DART and rail
infrastructu services
re
Local April 2021
Schools, sporting facilities, parks, shopping, hospitals and employment, in a
Ameniti highly desirable seafront location
es
CGI
1 IncludingVAT but excluding other transaction costs; 2 Updatedto reflect the prevailing market condition
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 15ACQUISITION DEVELOPMENT PARTNERSHIPS DEVELOPMENT EXISTING
ASSETS
DEVELOPMENT IN PROGRESS: BAKERS YARD, DUBLIN CITY CENTRE
Bakers Yard, North Portland Street, City Centre, Dublin M50
Development Costs €16 million Gross Yield 6.1%1
(Year 1)
Expected Completion2 2022
Total units3 1 bed 19 3 bed -
61
2 bed 42 4 bed -
Location Walking distance to the City Centre, Mater Hospital, Universities, Croke Park
and Financial Services District
Transport Access to Luas, local train and bus services, Port Tunnel and the M50
infrastructu national motorway network
re
Local Hospitals, schools, sporting facilities, shopping and employment
Ameniti
es May 2021
1 Assumes Part V sold; 2 Subject to changedue to Covid-19 restrictions; 3 IncludingPart V units
IRES REIT l INVESTOR PRESENTATION l SEPTEMBER 2021 16DISCLAIMER
Cautionary Statements of this presentation or its contents or otherwise arising in To the extent indicated, certain industry, market and
This presentation has been prepared by Irish Residential connection with this presentation. Certain financial and competitive position data contained in this presentation come
Properties REIT PLC (the “Company” or “IRES”) for information statistical information contained in this presentation is subject from third party sources. Third party industry publications,
purposes only. to rounding adjustments. Accordingly, any discrepancies studies and surveys generally state that the data contained
between the totals and the sums of the amounts listed are due therein have been obtained from sources believed to be
This presentation has been prepared in good faith but the torounding. reliable, but that there is no guarantee of the accuracy or
information contained in it has not been independently verified completeness of such data. While the Company believes that
and does not purport to be comprehensive. The Company is This presentation contains forward-looking statements which each of these publications, studies and surveys has been
not undertaking any obligation to provide any additional can be identified by the use of terms such as "may", "will", prepared by a reputable source, neither the Company nor IRES
information or to update this presentation or to correct any "should", "expect", "anticipate", "project", "estimate", "intend", Fund Management have independently verified the data
inaccuracies that become apparent. This presentation is "continue", "target" or "believe" (or the negatives thereof) or contained therein. In addition, certain of the industry, market
neither a prospectus nor an offer nor an invitation to apply for other variations thereon or comparable terminology. Such and competitive position data contained in this presentation
securities. The information contained in this presentation is forward-looking statements are based on the beliefs of its may come from the Company’s own internal research and
subject to material updating, completion, revision, amendment management as well as assumptions made and information estimates based on the knowledge and experience of the
and verification. Any prospective investor must make its own currently available to the Company. Forward-looking Company and IRES Fund Management in the Irish market.
investigation and assessments and consult with its own adviser statements speak only as of the date of this presentation and While the Company believes that such research and estimates
concerning any evaluation of the Company and its prospects. the Company and IRES Fund Management expressly disclaim are reasonable and reliable, they, and their underlying
any obligation or undertaking to release any update of, or methodology and assumptions, have not been verified by any
No representation or warranty, express or implied, is given by revisions to, any forward-looking statements in this independent source for accuracy or completeness and are
or on behalf of the Company, its group companies, IRES Fund presentation, including any changes in its expectations or any subject to change. Accordingly, undue reliance should not be
Management Limited (“IRES Fund Management”) or any of changes in events, conditions or circumstances on which these placed on any of the industry, market or competitive position
their respective shareholders, directors, officers, employees, forward-looking statements are based including in respect of data contained in this presentation.
advisers, representatives, agents or any other persons as to the Covid-19 pandemic, the uncertainty of its duration and
the accuracy, completeness, fairness or sufficiency of the impact, and any government regulations or legislation related Please refer to the Principal Risks and Uncertainties
information, projections, forecasts or opinions contained in this to it. Due to various risks and uncertainties, actual events or section contained in the Annual Report 2020 for further
presentation. Save in the case of fraud, no liability is accepted results or actual performance of the Company may differ details
for any errors, omissions or inaccuracies in any of the materially from those reflected or contemplated in such
information or opinions in this presentation and neither of the forward-looking statements. No representation or warranty is
Company or IRES Fund Management, nor any of their made as to the achievement or reasonableness of, and no
employees, officers, directors, advisers, representatives, reliance should be placed on, such forward-looking
agents or affiliates, shall have any liability whatsoever (in statements. There is no guarantee that the Company will
negligence or otherwise, whether direct or indirect, in contract, generate a particular rate of return.
tort or otherwise) for any loss howsoever arising from any use
IRES REIT
IRES REIT l INVESTOR
l INVESTOR PRESENTATION
PRESENTATION l SEPTEMBER
l SEPTEMBER 2021 2021 17Irish Residential Properties REIT plc
South Dock House
Hanover Quay
DO2 XW94
Ireland
www.investorrelations.iresreit.ie
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