The Republic’s most recently launched real estate trust is eyeing blocks with a total of 2,300 apartments for potential investment targets, according to its prospectus.

Irish Residential Properties Real Estate Investment Trust (Ires Reit) raised €200 million from its launch on the Dublin stock market yesterday.

The placing was promoted by Canadian player Capreit, which put up €40 million, and backed by Irish Life Assurance, which invested €24.24 million, and US funds, Franklin Templeton (€25 million) and Fir Tree Partners (€30 million).

The trust plans to buy and rent out apartments, cashing in on current demand in the residential market. It will return most of the income it generates to investors in the form of dividends. Its prospectus states it is reviewing properties, with up to 2,300 apartments that might be suitable for purchase.

Ires Reit already owns four apartment blocks in Dublin containing 338 units, which were bought last September.

After repaying Capreit a €45 million intercompany loan it provided to buy the apartments, and footing an €8 million bill for the share placing and listing, it will have €147 million to invest.

The stock closed at €1.04, 4 per cent up on the listing price of €1, at the end of its first day of trading in Dublin yesterday, having touched €1.10. Just over 650,000 of its shares changed hands.

Chief executive David Ehrlich and chairman Colm Ó Nualláin, former head of finance at Grafton, said the trust was pleased with the level of institutional support.

Michael Cullen, chief executive of broker Investec Bank, said the listing represented a another vote of confidence in the Irish property sector.

Ires Reit is the third such company to launch on the Dublin market over the last 10 months. The other two trusts, Green and Hibernia, both launched last year. Green is focused on commercial property, Hibernia has invested in commercial and residential.