Irish property market news and insights – for the industry, by the industry
*I was delighted to sign in support of this campaign for better public procurement processes at https://www.wecanbuildbetter.org/ – please take a few minutes to read through the website, sign if you support it and perhaps add your comments and industry experience to this.
Before we get stuck into the general property news of the week, below are a few local and international stories that might be of particular interest:
- Fianna Fáil proposes more executive powers for local authority managers: Move would dilute ability of councillors to block sale of council land for housing https://www.irishtimes.com/news/ireland/irish-news/fianna-f%C3%A1il-proposes-more-executive-powers-for-local-authority-managers-1.4199158?mode=amp
- Construction Industry Tackles Suicide, an Occupational Hazard https://www.wsj.com/articles/construction-industry-tackles-suicide-an-occupational-hazard-11583876608
- How will coronavirus affect housebuilding? https://www.insidehousing.co.uk/comment/comment/how-will-coronavirus-affect-housebuilding-65398
- Collapse of deal for estate agent blamed on Covid-19: The country’s biggest estate agent is looking for a new buyer for its commercial property business after the investor who agreed to pay £38 million failed to come up with the cash, blaming the impact of coronavirus on senior staff.
Countrywide said that John Bengt Moeller, 59, from Monaco, failed to transfer the funds to pay for Lambert Smith Hampton. The sale was due to complete on January 20 but the deadline was extended to midday yesterday after Mr Moeller said that he had “logistical” issues delivering the funds. However, he missed that deadline too…
- Coronavirus: Estate agents cancel open viewings of houses this weekend https://www.irishtimes.com/life-and-style/homes-and-property/coronavirus-estate-agents-cancel-open-viewings-of-houses-this-weekend-1.4201279?mode=amp
- Landlords should show ‘forbearance’ during Covid-19 outbreak, says housing minister
If you missed last week’s round-up, you can catch up here: https://propertydistrict.ie/category/sunday-property-review/
As always, you might let me know if I have missed out on any relevant property news by emailing email@example.com.
(Apologies in advance for any typos, it’s difficult to get good help on a Sunday. Also, I use voice to text dictation so just sound out anything that really doesn’t make sense in a strong rural accent and that should help!)
Property Matters: Ireland’s First Weekly Property Radio Show (& Podcast!):
Ireland’s first weekly property radio show, Property Matters, launched In January 2019 on Dublin South FM 93.9 and is now available internationally via iTunes and Spotify podcast (www.iPropertyRadio.com). Seasoned political broadcaster, Bryan Fox, and I (Carol Tallon) team up to deliver 60 minutes of industry chat with guests from the areas of planning, construction, property and proptech. Produced by Katie Tallon of Hear Me Roar Media.
‘Property Matters’ March 10th 2020: Right to housing, Offsite construction and a billionaire’s housing solution
On Property Matters this week we broke down Dermot Desmond’s controversial 5,000 word opinion piece in the Irish Times: Everyone has a right to a home. Here is how it can be done
Also, we were joined on location in the city centre (please excuse the ambient noise!) by Deborah Smyth of Tempohousing UK & Ireland and Ger Fahey, managing director of Horizon Offsite to talk all things MMC.
*Listen back: https://ipropertyradio.com/331-2/*
*Listen back to all #PropertyMatters episodes here: https://anchor.fm/ipropertyradio
Email the Property Matters team at hello@iPropertyRadio.com
PUBLIC CONSULTATION AND COMMUNITY ENGAGEMENT
- The 20 sites in capital where homes can be built – but local politicians object : In a city with a housing and homelessness crisis, local politicians, including a party leader, object to plans to rezone land for home-building
- City planners to decide on major urban regeneration project for lands beside Ceannt Station – Galway Bay FM https://galwaybayfm.ie/galway-bay-fm-news-desk/city-planners-to-decide-on-major-urban-regeneration-project-for-lands-beside-ceannt-station/
- Why do we let gurus preach to us from pulpits far from scrutiny? Caveat: Dermot Desmond’s views on housing an odd neighbour of legal challenge by wife
- South Dublin County Council to Progress Affordable Housing Development:
South Dublin County Council has agreed to progress a new affordable housing development in Killinarden, Tallaght that could provide up to 500 new social, affordable and private homes.
The proposed mix for the Killinarden site is for 300 affordable homes with 100 private and with an extra 100 social homes provided. Affordable housing delivered on the site is expected to include 2-bed apartments/duplex, 3-bed houses/duplex and 4-bed houses.
*PLACEengage: The future of speedy, successful placemaking for property developers is here – Property developers and project owners ready Public Consultation are encouraged to contact the PLACEengage team for full details*
CONSTRUCTION & DEVELOPMENT NEWS
- Huge rise in number of planning permissions granted last year: The number of planning permissions granted last year rose by 38 per cent to just over 40,000, according to new figures from the Central Statistics Office (CSO).
Overall, permissions were granted for 40,252 dwelling units in 2019 with permissions for apartments surpassing those for houses for the first time. In the prior year, some 29,102 dwelling units received planning permissions.
- Report shows how much planning, finance and VAT adds to cost of building Dublin houses https://amp.breakingnews.ie/ireland/report-shows-how-much-planning-finance-and-vat-adds-to-cost-of-building-dublin-houses-987697.html
- Construction boom to slow but sector still has growth https://amp.independent.ie/business/commercial-property/construction-boom-to-slow-but-sector-still-has-growth-39037295.html
- If apartments are not viable, how come we are building them? https://www.irishtimes.com/business/construction/if-apartments-are-not-viable-how-come-we-are-building-them-1.4202438?mode=amp
- Up to 1,575 new homes can now be built on underused land in the city. But the rezoning of industrial land falls well below the original plan to provide 3,500 houses and apartments.
And there is now enough land rezoned in Dublin city to build 52,000 homes, but all these sites are at different stages of development.
- Appeals board gives go-ahead for 832 residential units for Dublin: An Bord Pleanála has given the green light to almost 850 residential units in two separate “fast-track” planning developments for Dublin.
The appeals board has granted planning permission to Ardstone Homes Ltd for 590 units at Beechpark and Maryfield, Scholarstown Road, Dublin 16.
The application is made up of 480 build-to-rent apartments in seven blocks with a number reaching six storeys in height.
- Property price growth accelerates for first time in six months https://www.irishtimes.com/business/economy/property-price-growth-accelerates-for-first-time-in-six-months-1.4201011?mode=amp
- Social housing ‘could take 10 years’ if councillors block land sales: Dublin City Council has selected nine sites, three on the southside and six on the northside, that are currently used as depots for its staff, vehicles and equipment, but could accommodate at least 745 homes.
More than 20 per cent would be senior citizens’ apartments, including homes for older people who want to downsize from larger houses.
Brendan Kenny, the council’s head of housing, said the local authority does not plan to build the homes itself, but will use instead approved housing bodies (AHBs) to provide the social housing element.
- Is Cairn having a rethink on Stillorgan student accommodation scheme? “Cairn Homes not to proceed with Stillorgan student accommodation?” That’s the intriguing, and it should be added, entirely legitimate question Fine Gael local councillor Barry Saul posed on Twitter last Friday.
It’s been two years since the listed homebuilder secured “fast-track” planning permission for the former Blakes restaurant site in south Co Dublin, and there’s still no sign of the 548 student bed spaces and 103 apartments it promised.
While The Irish Times understands the delay is due in part to ongoing discussions between the developer and Dún Laoghaire Rathdown County Council on the status of the section of the Old Dublin Road next to the 3.3-acre site, the speculation in relation to Cairn’s plan is intensifying
- Two-bed apartment in Dublin costs €463,000 to build, report says https://www.irishtimes.com/business/economy/two-bed-apartment-in-dublin-costs-463-000-to-build-report-says-1.4201418?mode=amp
- €2.5m for Dublin 8 site with scope for hotel or apartments https://www.irishtimes.com/business/commercial-property/2-5m-for-dublin-8-site-with-scope-for-hotel-or-apartments-1.4195003?mode=amp via Robert Colleran Property Consultants (image above)
- Softer rise in construction activity amid storm disruption https://www.irishbuildingmagazine.ie/2020/03/09/softer-rise-in-construction-activity-amid-storm-disruption
- Developer Crosbie disappointed at being left out of concert venue project: Dublin developer Harry Crosbie has expressed his disappointment after being left out of a submission made by a Wexford-based construction company to Wexford County Council regarding the future development at Gorey’s Market House and adjoining lands.
Crosbie, who had come up with a plan for a 1,500-seater venue in the south-east region, believed a deal was done between all interested parties, including Tommy and Paddy Redmond of Redmond Construction Ltd, for pursuing the design, build and operation contract.
- Trinity Street car park complex to be replaced with office block: Car park operator Bashview Limited is divesting from the business as city moves toward more cycle-friendly plans
- Work to begin next week on €50m development in Limerick https://www.limerickleader.ie/news/home/524726/work-to-begin-next-week-on-50m-development-in-limerick.htm
- Ashbourne lands with scope for residential guiding at €8.4m https://www.irishtimes.com/business/commercial-property/ashbourne-lands-with-scope-for-residential-guiding-at-8-4m-1.4195196?mode=amp
- An Bord Pleanala refuses permission for 305 residences in north Kildare: An Bord Pleanála has refused planning permission to Westar Investments Ltd. for 305 residences at Capdoo and Abbeylands, on the Dublin Road in Clane.
The plan included 112 houses and 193 apartments with a creche for up to 50 children.
- Naas Road mixed-use plan includes ‘large iconic’ 17-storey office block https://www.echo.ie/ballyfermot/article/naas-road-mixed-use-plan-includes-large-iconic-17-storey-office-block
- Plans to convert former Amber Nightclub in Dundalk into apartments https://www.dundalkdemocrat.ie/news/home/523704/plans-to-convert-former-amber-nightclub-in-dundalk-into-apartments.html
- Hotel planned for Cork’s Coliseum site: FIFTY years after the closure of the former Coliseum Cinema in Cork city, come plans to finally demolish it, and to replace the property which is still in active leisure use with a €15 million, 171-bed hotel. https://amp.irishexaminer.com/breakingnews/property/hotel-planned-for-corks-coliseum-site-987262.html
- Aperee makes first two investments in Irish nursing home market https://www.irishtimes.com/business/commercial-property/aperee-makes-first-two-investments-in-irish-nursing-home-market-1.4195010?mode=amp
- Kingspan acquires UK company to expand light and air division https://www.irishtimes.com/business/construction/kingspan-acquires-uk-company-to-expand-light-and-air-division-1.4199643?mode=amp.
- Arup engineers surge in profits and revenues: Pre-tax profits at one of the contractors engaged in the €1.73 billion National Children’s Hospital (NCH) project last year increased by 20 per cent to €189,471.
- Lagan owner Breedon closes in on more Irish targets https://www.irishexaminer.com/breakingnews/business/lagan-owner-breedon-closes-in-on-more-irish-targets-987373.html #construction #propertydevelopment #developmentfinance
PROPTECH, MMC & CONSTRUCTION INNOVATION
- From smart design and planning right through to the smart property transaction, where does your Irish-led or Ireland-based proptech or MMC business sit? Pease take five minutes to add or update your details to our internationally-shared listing here: SIGN UP HERE: *PROPTECH INNOVATORS and STARTUPS *
- Addjust wants to ease the headache of handling complex construction contracts https://fora.ie/addjust-construction-5034924-Mar2020/
- Irish-founded tech company creates holographic building sites https://www.irishtimes.com/business/technology/irish-founded-tech-company-creates-holographic-building-sites-1.4199722?mode=amp
- PropTech Today: uncertain times to accelerate mergers and failures
- Cesium makes construction smarter with drones, 3D visualization, and Komatsu deal https://venturebeat.com/2020/03/10/cesium-makes-construction-smarter-with-drones-3d-visualization-and-komatsu-deal/
- Blackstone Investment Infuses PropTech Firm for Expansion: Dealpath received a strategic investment from Blackstone, and the partnership provides Dealpath with industry experience and expertise from Blackstone’s real estate and innovations teams.
- Construction Workers Embrace the Robots That Do Their Jobs https://www.wired.com/story/construction-workers-embrace-robots-do-their-jobs/
- Where does ISO 19650 fit into Construction 4.0? | BIM+ http://www.bimplus.co.uk/opinion/where-does-iso-19650-fit-construction-40-may-winfi/
- PropTech Startup Goodlord Raises $13M | PYMNTS.com https://www.pymnts.com/news/investment-tracker/2020/proptech-startup-goodlord-raises-13-million-engineering-product/
- Handle.com helps independent construction workers get paid on time – TechCrunch https://techcrunch.com/2020/03/13/handle-com-helps-independent-construction-workers-get-paid-on-time/
- Tipping point nears for semi-automatic diggers: Semi-automatic diggers and dozers are set to become far more prevalent after a raft of manufacturers signed deals with Leica Geosystems, one of the leading manufacturers of machine control technology.
- LonRes at 20: the lightbulb moment behind one of the first PropTech firms
OTHER PROPERTY NEWS
- Dublin house sales fall 1.5% as affordability pushes buyers out https://www.irishtimes.com/life-and-style/homes-and-property/dublin-house-sales-fall-1-5-as-affordability-pushes-buyers-out-1.4197340?mode=amp
- Mortgage holders still paying more than European counterparts https://www-irishtimes-com.cdn.ampproject.org/c/s/www.irishtimes.com/business/economy/mortgage-holders-still-paying-more-than-european-counterparts-1.4202272?mode=amp
- Ireland back on top of the mortgage league of shame https://m.independent.ie/business/personal-finance/ireland-back-on-top-of-the-mortgage-league-of-shame-39042203.html
- Dermot Desmond and Sinn Féin’s Eoin Ó Broin talk housing https://www.irishtimes.com/news/ireland/irish-news/dermot-desmond-and-sinn-f%C3%A9in-s-eoin-%C3%B3-broin-talk-housing-1.4197957?mode=amp
- Over 2,000 buyers bid for first affordable homes planned for south Dublin in years https://www.irishtimes.com/news/social-affairs/over-2-000-buyers-bid-for-first-affordable-homes-planned-for-south-dublin-in-years-1.4175557?mode=amp#.XmX4d78EsTs.twitter
- Rents on rise in industrial sector but falling for retail: prime retail rents fell 9pc in Dublin and 7pc in the rest of the country in 2019, although Grafton Street rents rose 7pc.
The industrial sector was the star performer in the commercial market while offices are seeing stabilisation in rents, according to the report which is based on a survey of its members.
“It’s clear from the report that all retail operations, whether in urban city centres or smaller rural towns are continuing to grapple with the challenges posed by online and the transition to a more ‘experiential shopping model’,” the report says.
- County Council to enlist agents to identify retail-unit apartment conversions https://amp.irishexaminer.com/breakingnews/ireland/county-council-to-enlist-agents-to-identify-retail-unit-apartment-conversions-987000.html
- No 3 Dublin Landings a grade A opportunity at €55 per square foot https://www.irishtimes.com/business/commercial-property/no-3-dublin-landings-a-grade-a-opportunity-at-55-per-square-foot-1.4197438?mode=amp
- Hibernia Reit directors spend €300,000 buying shares in property group https://www.irishtimes.com/business/commercial-property/hibernia-reit-directors-spend-300-000-buying-shares-in-property-group-1.4202468?mode=amp
- Judge refuses injunction in Stillorgan Leisureplex landlord-tenant dispute https://www.irishtimes.com/business/commercial-property/judge-refuses-injunction-in-stillorgan-leisureplex-landlord-tenant-dispute-1.4202599?mode=amp
- Award-winning apartments sell for around €16m https://amp-independent-ie.cdn.ampproject.org/c/s/amp.independent.ie/business/commercial-property/award-winning-apartments-sell-for-around-16m-39037304.html (image above)
- Former Kildare school to be converted into restaurant and shop in €58k project https://www.kildarenow.com/news/home/525244/kildare-school-to-be-converted-into-restaurant-and-shop-in-58k-project.html
- Bartra offers new nursing home to HSE for Covid-19 acute cases: HSE told to look for 10,000 beds around the state to cope with more seriously ill patients | Business Post https://www.businesspost.ie/health/bartra-offers-new-nursing-home-to-hse-for-covid-19-acute-cases-2bfbe3bc
- Fianna Fail spokesman Robert Troy shows enterprising side in three property projects:
The party’s spokesman on business, enterprise and innovation is a partner in a company constructing apartments at Bridge Street in Mullingar that are to be sold to Westmeath county council upon completion. He also has a half-share in a property development in Phibsboro, turning a vacant site close to the new Grangegorman college campus into two three-bedroom terraced homes.
Troy’s partner in the Dublin project is John Noel McGivney, a nursing-home owner from Co Westmeath…
- Private rented sector: Irish property’s new bête noire: While institutional landlords are gobbling up the Irish residential market, the real driver of soaring rents is stubbornly high build costs – Interesting piece by Brian Carey in The Sunday Times
- Also in the Business Post today: UZ Property firm chaired by O’Dea sees turnover of €35.5m in 2019 (Formation Group); Ashford Castle owner to turn Hatch Hall into a boutique hotel; and Irish Life property funds rise with focus on rental income.