Privately owned European real estate investment manager Ardstone is seeking to double the size of its core, social and affordable portfolio in Ireland.
The Dublin-based property company is targeting €2 bn in social and intermediary housing assets for its Ardstone Residential Income Fund (ARIF), which currently has a GAV of €1 bn and comprises 2,500 A-rated homes.
Ardstone has just initiated a new round of investment for ARIF in 2024, and has already secured commitments of €135 mln, with further closings planned later in the year.
Just under 40% of ARIF's portfolio is purely social housing, offering government backed inflation-linked income for 25 years. The remainder of the portfolio targets the subsidised and mid-market rental segments of the market.
The strategy is focused on addressing the massively undersupplied market in Dublin and is specifically seeking to expand its proportion of social and intermediary homes. 'Net yields in Ireland have now pushed out to approximately 4.75%, and we are confident now is the right time to deploy capital again. There is an opportunity now to acquire “repriced core” assets and we have a significant pipeline in this category,' commented Jessica Crowley, investment director at Ardstone.
