Irish Real Estate Fund Drops Six-Month Wait for Withdrawals

Investors in two real estate funds run by Bank of Ireland Group Plc’s New Ireland unit will no longer face a six-month wait to withdraw their money, as the company dropped a measure introduced as the pandemic took hold.

In March, New Ireland deferred redemptions for as long as six months on three funds, adding to a raft of other finance firms make similar moves as the pandemic spooked investors and made property harder to value.

New Ireland will remove the requirement from its Property Fund and Pension Property Fund from Nov. 20, a company spokesman said in an emailed response to questions on Thursday in Dublin. The deferral period on its European Real Estate Fund will be retained.

Since the pandemic hit, rents and valuations have dropped as lockdowns to control the virus spread damaged the economy. Still, the Irish market has seen a number of real estate deals in recent weeks. Pacific Investment Management Co. agreed terms to rent office space in Dublin, while Kennedy-Wilson Holdings Inc. sold an office block in the city for $165 million in October.

All deferred customer instructions will be processed using the Nov. 20 unit price which will be based on that day’s market close, the firm said.

©2020 Bloomberg L.P.

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