Brian Hayes (Dublin South West, Fine Gael)

I thank Deputy Phelan for raising this important matter.

NAMA has advised me that it has and continues to engage actively with the Department of the Environment, Community and Local Government and local authorities regarding unfinished estates and on the issue of housing in general.

Following release of the report of the advisory group on unfinished housing developments last June, the Minister of State with responsibility for housing established a national co-ordination committee to oversee action on unfinished developments and to monitor and drive progress. NAMA has two representatives on this committee, which meets on a regular basis with the City and County Managers Association. The national co-ordination committee has focused its initial attention on the 243 estates categorised by local authorities as the most problematic from a public safety perspective, Category 4.

It is often assumed that the vast majority of unfinished estates are under NAMA control. However, only 29 of these estates are controlled by NAMA debtors or receivers, which is less than 12% of the total number of unfinished estates. NAMA has committed to fund, through its debtors and receivers,the cost of essential urgent works on these 29 estates, which is estimated at €3 million. NAMA advises that good progress has been made on the public safety issues surrounding these estates. Issues have been resolved in 12 estates and 11 other estates are in receivership, in respect of which satisfactory progress has been made with local authorities on agreeing site resolution plans. It is proposed to appoint receivers as a first step towards resolving safety issues in the remaining six estates.

The national co-ordination committee has now shifted its attention to Category 3 estates. NAMA estimates that approximately 14% of these relate to NAMA debtors. The next step is to clarify the status of each site and to agree a plan and timetable for optimum site resolution. As with Category 4 estates, this will involve NAMA working closely with the relevant local authorities.

On the matter of social housing in general, the Minister for the Environment, Community and Local Government, Deputy Hogan, announced on 21 December last that he had agreed with NAMA that 2,000 housing units would be made available in 2012 to people on social housing lists, through leasing agreements with local authorities and volunteer housing associations. The objective behind the initiative is to provide individuals and families on social housing lists throughout the country with new homes provided by the State from properties already built but not being utilised. The agreement between the Minister and NAMA also includes a commitment by NAMA to put more housing units on the market, put aside more money to finish projects pending their sale or leasing for social housing purposes and to assign designated staff to manage legal and other problems that might be associated with completing transactions. In announcing this initiative, the Minister, Deputy Hogan, welcomed the agreement as one of the largest housing allocations made in the history of the State and a welcome boost to those most vulnerable in society.

NAMA has advised the Minister for Finance that on foot of the announcement made by the Minister, Deputy Hogan, it has provided a list of housing units to the Housing and Sustainable Communities Agency, which is, in turn, engaging directly with local authorities with a view to aligning the NAMA listing with their specific social housing needs. In that context, the Housing and Sustainable Communities Agency is co-ordinating the response to NAMA. Where a demand is identified by a local authority, efforts will be made by NAMA to secure suitable properties for social housing. Housing units being advanced by NAMA will be provided through the social housing leasing initiative under standard terms and conditions. The local authority will have the option of leasing the properties directly. Alternatively, an approved housing body may secure the properties through direct leasing or in some cases, by purchasing property, using private or HFA finance and leasing it back to the State.

As evident from my reply, NAMA is engaging actively with local authorities on the matter of unfinished estates and social housing. Can it improve that work? Yes, it can. The Deputy's highlighting of this issue and the importance of the strategic role played by NAMA in partnership with local authorities in areas where they have a responsibility, is an important part of that communication.

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