Dáil Éireann Debate, Tuesday - 2 May 2017
275. Deputy Mick Wallace asked the Minister for Finance the number of transactions completed by NAMA which involved vendor finance; the names of the companies in receipt of vendor finance; the names of the loan asset sales involved; the individual cost of each vendor finance initiative, in tabular form; and if he will make a statement on the matter. [20155/17]
Amharc ar fhreagraI am advised by NAMA that the Agency has, to date, advanced a total of €384m in eight vendor finance transactions involving the sale of commercial property securing its loans. I am advised that four of the loans have now been repaid in full and that the four remaining loans have an outstanding principal balance of €228.5m as at end-2016. Under sections 99 and 202 of the NAMA Act, NAMA is prohibited from disclosing information relating to its debtors or the assets securing their loans and, accordingly, NAMA is not in a position to disclose detailed commercially sensitive information in relation to individual vendor finance transactions.
The vendor finance initiative was introduced by NAMA in 2012 as one of a range of measures to encourage investment in Irish property at a time when there were few transactions in the market and when there was limited finance available.
The Deputy will be aware that Irish market conditions have improved significantly since 2013. This reflects the impact of Ireland’s exit from the Troika programme in late 2013, the major recovery in the Irish economy over recent years, the significant levels of investment in Irish assets by international and domestic investors and by Irish REITs and the increased access to capital that has been provided by international and domestic debt providers.
