Oireachtas Joint and Select Committees

Thursday, 11 October 2018

Public Accounts Committee

2017 Annual Report of the Comptroller and Auditor General and Appropriation Accounts
Vote 13 - Office of Public Works
Chapter 6: Lease of Offices at Miesian Plaza

9:00 am

Mr. Maurice Buckley:

I was just about to say that we were aware of the issue right from the beginning. The committee will have to allow me to explain because it is a little bit complicated, but it is important that I explain it. In 2016, first of all the Royal Institution of Chartered Surveyors introduced the international property measurement standard 3, IPMS 3, standard and it was mandatory for its members in the UK and worldwide from January 2016. The corresponding adoption in Ireland by the Society of Chartered Surveyors Ireland was one month later and it was mandatory for chartered surveyors to use this new code from February 2016. It must be understood that the Miesian Plaza transaction was just in full swing at this stage. The terms had been negotiated under the old system and there was a discussion and an agreement. The agreement is where the confusion arises. The agreement was that the final lease documentation should be based on floor area measured to the new IPMS 3 standard. Where the confusion arises is that what was not picked up on early enough were the implications that might have for the rent rate and the lease value. In the normal run of events-----