Kennedy Wilson has teamed up with Dutch pension asset manager APG to create a €2bn residential development and asset management platform in Ireland.
The venture involves Kennedy Wilson acquiring a minority equity stake in APG’s existing Cherrywood portfolio in south Dublin. The 1,100-unit portfolio is fully developed and occupied, and APG will retain a majority interest.
As part of the partnership, Kennedy Wilson will also acquire a minority equity stake in and develop approximately 2,300 new private-rented units across the Player Wills, Bailey Gibson and Clonliffe sites.
In total, the new platform will encompass more than 3,400 private-rented homes across both operational and development assets.
John Keegan, head of capital formation, EMEA at Kennedy Wilson, said: “This joint venture marks a significant milestone for Kennedy Wilson in Ireland and represents a compelling opportunity to partner with one of the world’s largest pension funds to deliver much-needed private rental homes at scale.
“These developments span from the regeneration of former industrial sites at Player Wills and Bailey Gibson to the landmark Clonliffe development. They are all projects that will transform communities, create lasting amenities for local residents and make a meaningful contribution to supporting Ireland’s housing delivery targets.”
Robert-Jan Foortse, head of real estate Europe at APG, said: “We believe long-term institutional capital like ours can play an important role in supporting the delivery of well-managed housing and creating places where people want to live.
“For our pension fund clients and their participants, this is the type of long-term residential investment we seek, combining attractive financial fundamentals with meaningful social relevance, with the latter further cementing the long-term resilience of the former.”
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