NAMA generated €3.3 billion in cash in 2018, according to an end of year summary of the agency’s progress.
It said its Residential Delivery funding programme continued to deliver new homes in Ireland throughout the year, and it is estimated that 9,700 units have been delivered through NAMA funding between 2014 and 2018.
Since its inception, the agency has generated cash of €44 billion from its operations.
Profit for the first half of 2018 showed a year-on-year increase of 44% notwithstanding the reduced size of NAMA’s loan portfolio.
Based on prevailing market conditions, the agency continues to expect to return a surplus of €3.5 billion to the Exchequer by the time it completes its work.
Following the final repayment of its €30.2 billion senior guaranteed debt in 2017, NAMA commenced the redemption of its €1.6 billion subordinated debt in April 2018. To end-2018, NAMA has redeemed more than €500 million of this subordinated debt.
According to the summary, NAMA expects that the remaining €1.06 billion will be redeemed, at latest, by the March 2020 first call date.
NAMA said its Residential Delivery funding programme has continued to deliver new homes in Ireland throughout 2018. It is estimated that 9,700 units have been delivered through NAMA funding between 2014 and end-2018. An additional 3,000 units are currently under construction or have had funding approved for construction. It said planning permission has been granted for a further 6,400 units on sites secured to NAMA.
The agency said major progress has been made on sites within the Dublin Docklands SDZ area with delivery strategies currently being implemented on 100% of the 15 sites in which NAMA originally had an interest. The SDZ area is twice the size of the original IFSC. Through NAMA initiatives, construction is complete on almost 1m square feet of commercial space and construction is underway on an additional 1.66m square feet of commercial space on formerly derelict sites in the Dublin Docklands area.
Since 2012, NAMA has delivered 2,475 houses and apartments for social housing, providing homes for an estimated 8,000 people. This is in addition to social housing provided under Part V arrangements on NAMA-funded residential developments.
To date, NAMA has invested approximately €350 million in remediating, completing and purchasing properties for social housing use.
Many social housing units remediated using funding from NAMA are situated in former unfinished housing estates. NAMA has completed the task of putting resolution strategies in place for all unfinished estates that remain in its portfolio. The total number of unfinished estates in the portfolio has reduced from 335 in 2010 to four at end-2018.
NAMA Chief Executive, Brendan McDonagh
“NAMA had another very successful year in 2018,” said Brendan McDonagh, Chief Executive. “We exceeded our deleveraging targets, generated €3.3 billion in cash, funded the completion of 2,500 residential units and delivered a substantial profit. We also facilitated further major progress in the development of the Dublin Docklands SDZ while achieving significant benefits for the State in further de-risking taxpayers’ exposure to the cost of developing the area.”
NAMA Chairman, Frank Daly
NAMA Chairman, Frank Daly, said, “At the end of 2018 it is salutary to recall the difficulties our country faced nine years ago when NAMA started its work at the end of 2009. The country has recovered significantly in the intervening period and it is encouraging for all who work in NAMA to recognise that, with many others, we played a real part in that recovery.”
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