Seanad debates
Tuesday, 10 October 2023
Nithe i dtosach suíonna - Commencement Matters
Housing Provision
11:30 am
Mary Fitzpatrick (Fianna Fail)
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I welcome the Minister of State to the House. I am raising the issue of the provision of social and affordable housing in Dublin city and, specifically, in Dublin Central. As the Minister of State will know, this is the constituency where I grew up and where I live. Today, I wish to talk specifically about the proposal to deliver homes on a Dublin City Council site at Stanley Street. For those who do not know it, this is a city council-owned site right in the heart of Dublin 7.It is between Stoneybatter and Grangegorman Lower, just off North Brunswick Street. It is kind of a hidden site. You would pass by North Brunswick Street and you might not even notice it. Since the 1900s, it has been used as a city council depot for waste management, engineering and mechanical activity. There are old tram lines running over the cobblestoned streets. The site has been earmarked for the development of housing as part of the Housing for All plan in Dublin Central. Housing for All is funding the development of almost 2,500 new homes, which will be a mix of social and affordable homes. This proposal is very welcome because it is more than a decade since any new homes were built in Dublin Central.
The reason I raise the issue in the House is the concern that there is scope to accelerate the pace at which the housing development is being progressed by Dublin City Council. Will the Minister of State inform the House of the current status of the development of housing on Stanley Street? How many homes will be built there and what is the timeline for completing them? While Housing for All is a €20 billion plan that is delivering thousands of homes, each and every one of those homes is desperately needed, most acutely in the city. I hope the Minister of the State has a good update for the House and I look forward to his answer.
Malcolm Noonan (Carlow-Kilkenny, Green Party)
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I always bring good news to the House. I am very familiar with Stanley Street. It is in a beautiful part of Dublin city. I was in Stoneybatter last week and it, too, is a wonderful and historic part of Dublin. It is also an important part of the city's sustainability.
Building on the successful model of social housing, including public private partnerships, PPPs, introduced in recent years, which will deliver in the region of 15,000 social homes across three bundles nationally, the Department of Housing, Local Government and Heritage is increasing the use of PPPs to deliver social housing under Housing for All. The social housing PPP programme involves a partnership approach. Following the launch of Housing for All, the Department has been actively engaged with relevant stakeholders, including the National Development Finance Agency, NDFA, the Local Government Management Agency, LGMA, housing delivery and co-ordination office and Dublin City Council, with its experience as lead local authority for bundles 1 and 3, to support the roll-out of the new programme of PPPs.
The homes are being delivered using an availability-based PPP model in which a private sector company designs, builds, finances, maintains and operates social housing developments in return for a monthly payment from the State. The unitary charge paid during the operation period, usually 25 years, only commences once construction has been completed. The charge is subject to the performance of required services and availability of the homes for social housing tenants, with deductions to these payments being applied where required standards are not met. The PPP model provides a delivery structure whereby social housing units remain in State ownership throughout.
Regarding progress to date, construction was completed on bundles 1 and 2 in 2021. These delivered 534 and 465 homes, respectively, across 14 sites. The procurement process for bundle 3, which will deliver 486 new social houses and apartments across six sites, commenced in quarter 4 of 2022. In June 2022, bundles 4 and 5 of the new programme were announced. These will deliver in the region of 16,000 new homes. Bundle 6 was announced in January 2023 and is expected to provide approximately 500 new homes.
The Stanley Street depot forms part of bundle 4, which is currently advancing through design development, with a number of layout options being considered for the site. The site has a capacity to deliver up to 175 new social homes subject to the most appropriate layout option being selected. Construction work on bundle 3 is expected to commence in 2024, with homes being delivered in the first quarter of 2026. Commencement of further bundles will allow, on a phased basis, home completions in bundle 4, which includes the Stanley Street depot, and bundles 5 and 6 towards the end of 2026 and throughout 2027, subject to the statutory planning process. I will make a supplementary response after the Senator replies.
Mary Fitzpatrick (Fianna Fail)
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It is welcome to hear of the thousands of homes that are being delivered. I take the direction of Dublin City Council, the relevant local authority, which has had success in partnering in the delivery of homes.In fact it has already delivered homes in Stoneybatter just a stone's throw from Stanley Street. I am concerned about the reply and I would like the Minister of State to bring this back to the Department. The reply indicates that while the homes will remain in State ownership, which is very welcome, and that there will be 175 new social homes, it does not allow for any affordable homes. I ask the Minister of State to go back to the Department and the local authority and ask them to explore the possibility of providing a mix of social and affordable homes on this site.
I also ask the Minister of State to ask the Department to accelerate the delivery. The timescale describes bundle 4 being progressed towards the end of 2026 and throughout 2027. This timescale is just not good enough, particularly when the Department and the local authority are partnering with private providers. One of the advantages of partnering with private providers should be an acceleration of delivery. If this acceleration of delivery cannot be achieved we need an explanation as to why not.
Malcolm Noonan (Carlow-Kilkenny, Green Party)
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I again thank the Senator. I will certainly take these issues back to the Department and the Minister, Deputy O'Brien. The use of PPPs is a good model and a good way of delivering. As I outlined earlier, the figures that I gave will deliver social housing to more than 2,500 individuals and families. Work is ongoing to progress further phases under the programme. It is proposed to announce bundle 7 imminently. The success of this initiative is evident from the high-quality houses delivered under the programme so far. The Stanley Street depot site is part of bundle 4 and is in the design phase. Work will commence on site in 2025.
I take the point on accelerating delivery. It is complex in terms of scoping out sites and design and tendering but certainly we cannot be building these fast enough. I do think we have to get this right. I will take back to the Department and the Minister the points made by Senator Fitzpatrick on the 175 social units and the possibility of affordable housing being included in the mix.
Martin Conway (Fine Gael)
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I thank the Minister of State for his time on budget day, which is always a very busy day. I welcome the Minister of State, Deputy Richmond to the House to take the next Commencement Matter.