Property investment firm Hibernia REIT raises €365m in stock market flotation
Property investment firm Hibernia REIT has raised €365m through its flotation on the Irish Stock Exchange.
Hibernia shares began trading on the main market today.
REITs own or operate commercial property and they are not taxed on rental income if they pay out 85pc of it to their shareholders in the form of a dividend.
Hibernia REIT has raised €365m from Irish and international investors as a result of listing on the Irish market.
Hibernia REIT is the second REIT (real estate investment trust) to be launched in Ireland and to list on the ISE.
The company aims to assemble a portfolio of attractively-located, primarily institutional-quality, income-producing properties in Ireland, mainly in the commercial space and in the greater Dublin area.
Deirdre Somers, chief executive of the ISE, said:“This is the fourth major listing on the ISE’s equity markets in recent months and we are delighted to provide a platform to allow investors in Ireland and around the world to invest in Hibernia REIT."
Kevin Nowlan, chief executive of Hibernia REIT, added:“We believe a unique opportunity exists in Ireland to build an attractive property investment portfolio in light of current property values, the supply of assets on the market and the outlook for rents. We intend to create both sustainable income and strong capital returns for the company and its shareholders."
Investors have been buying up commercial property in Dublin at cheap rates.