SHAREHOLDERS in McInerney Properties can expect to receive a dividend next year, subject to continued good trading throughout 1997, according to the chairman, Mr Roy Ferris.

Speaking to shareholders at its annual general meeting in Cork yesterday, Mr Ferris, said that with the constraints of the group's financial restructuring now out of the way, McInerney should be able to show its full capabilities over the coming months.

"Economic and demographic conditions in Ireland remain very favourable to the house building business. Despite some excessive land pricing in certain areas, we are satisfied that the expansion we have achieved in recent years can be sustained," Mr Ferris stated.

The group is regularly reviewing its range of house designs, he told shareholders, while it has also adapted its operations to reflect changes in the home buying market.

Its house building projects are well spread throughout the State, he said. In Cork, McInerney will be developing 80 houses in Kinsale over the next two years and will be shortly opening a site for 50 houses iii Fermoy.

In Waterford, its new site at Grants Town has been recently launched and a second apartment development has begun in a designated area of the city, Mr Ferris said. A new development of up to 60 apartments and townhouses is being built at Dungarvan, while the group has also recently secured a contract to build 12 luxury houses in the grounds of Mount Juliet in Kilkenny. McInerney is also building houses in Limerick, having recently commenced a development at Dooradoyle. It has also opened a site at Killaloe, Co Clare, where 55 detached and semidetached houses will be built beside Lough Derg.

Meanwhile, in Dublin the group was progressing well with its commercial and apartment development on Townsend Street and is also shortly expecting to start on a new site in Naas.

Its commercial property division, Hillview Securities, he said, is benefitting from the strong conditions in the market. Two Government projects at Waterford and Kilkenny, he said, were due to be shortly handed over, while an industrial project of 40,000 square feet at Mulhuddard in Dublin is about to be started.

In Spain, Mr Ferris said trading had been satisfactory, running slightly ahead of its expectations. "No significant returns are anticipated from this project in the short term. Our long term strategy to insulate Spanish business from fluctuations in the leisure market is on course." Its operations in Portugal, he said, will end this summer as planned.