The Ireland Strategic Investment Fund (ISIF), part of the National Treasury Management Agency (NTMA) has announced the completion of four investment commitments totalling €229m aimed at accelerating the delivery of new homes in Ireland.
The new homes will be delivered for a mix of owner-occupiers, renters, students and people who need social housing.
The four investments bring total ISIF commitments to housing investments to over €1.5bn to date.
€100m has been committed to Avenue Capital Group which includes €25m to Avenue Europe Special Situations Fund V, and €75m to a dedicated fund that will support the construction of new homes in Ireland through Avenue’s partnership with Castlehaven Finance.
€75m has been committed to the Ardstone Residential Income Fund (ARIF), an Irish-based investment fund focused on the mid-market rental and social sectors in the Greater Dublin Area.
€29m has been committed to Summix, one of the UK and Ireland’s leading master developers and regeneration specialists, delivering 5,700 new homes since inception, with a further 15,000 homes in various stages of planning.
Finally, €25m has been committed to the recently announced Irish Homebuilding Equity Fund (IHEF) – a new fund by Pearl Property Managers Limited along with co-investor Bank of Ireland, set up to provide housebuilders with equity investment to unlock construction finance for sites with planning permission and sites zoned for residential use.
“Housing and enabling investments is one of ISIF’s four key investment themes, reflecting the sector’s strategic importance to the Irish economy and to Irish society,” said Nick Ashmore, Director of ISIF.
“The investment commitments we are announcing today demonstrate the strength of our continued appetite for commercial investments that will help to deliver more homes and help to alleviate the housing supply shortage in Ireland,” he added.
Based on ISIF’s model of using its capital to act as a catalyst for attracting third-party co-investment, ISIF anticipates that that these new investments could unlock up to €1bn of homebuilding activity.
ISIF’s wider housing investment programme is targeting the delivery of 25,000 new homes by 2030 through a range of equity and debt investments, of which over 14,200 were delivered by the end of 2023.
“I am delighted to see that ISIF is on track to meet its target of delivering 25,000 new homes by 2030 and that the four new investments could crowd in €1bn of fresh capital to Irish homebuilding,” said Minister for Finance, Jack Chambers.
“By doing this ISIF continues to demonstrate its value through catalysing third party investment in support of the delivery of housing in Ireland,” he said.
Article Source – ISIF announces €229m of investments to accelerate delivery of new homes – RTE
