Hines and APG Asset Management have formed a joint venture to develop 1,221 build-to-rent flats in Cherrywood Town Centre, in the south of Dublin.
The total development cost for the project is estimated at €450m and the deal represents the Dutch pension fund’s largest investment in Ireland to date.
The development forms part of a broader government-designated Strategic Development Zone where 7,700 homes are planned.
Subject to planning permission, construction of Cherrywood Town Centre will commence in mid-2018, with the first blocks expected to be completed by mid-2020.
Robert-Jan Foortse, head of European property investments at APG, said: “Having made comparable long-term residential investments in other markets such as The Netherlands, London, Madrid, and Helsinki, we are continuously looking for attractive real estate investments that help us realise stable and long-term returns for our pension fund clients and their participants.”
Hines development director Gary Corrigan added: “This is a new partnership framework for Hines in Ireland and it bodes very well for other projects to be acquired and developed as we pursue the wider strategy to build out our JV into a substantial private rental platform over the coming years.”
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