The Long-Term Lease available from the Government has a number of unique features and could be best described as a quasi-commercial lease for residential property investment.
- Government Lease Terms available 10, 20 and 25 years
Rental Income 80%–85% of the Open-market rent
Regular rent reviews every 3 years
No break clause
Rent reviews linked to the change in the Harmonised Index of consumer prices (HIcp) Ireland
Rents not subject to rental pressure Zone maximum of 4%
Local authority is the Tenant
Local authority is responsible for Internal maintenance
No requirement to register with the Rental Tenancies Board (RTB)
Rental Income paid to Investor directly from Local authority by way of electronic Transfer
Unrivalled Covenant Strength – Government-Backed Lease
Security of Income – Guaranteed under lease of up to 25 years
Opportunity to lock in rents and link to inflation
No Management of Tenants
No Rental collections or chasing arrears
No Internal Maintenance
No Voids
No Letting Fees
No Advertising Costs
No Ongoing Refurbishment Costs