Terence Flanagan (Dublin North East, Fine Gael)

I thank the Minister for bringing forward this Bill. As public representatives we have had many queries from concerned apartment owners anxious to see a speedy passage of this legislation. The sooner it becomes law the better for all concerned. The delay in bringing it forward is unacceptable. Like the banks, reform is coming years too late to help many apartment owners. The housing bubble has well and truly burst, yet apartment owners who are in negative equity and who have lower incomes than before must still pay management service fees far in excess of what they should be to developers. Apartment owners have been left in the lurch without any protection despite all they are paying. The Bill should have been introduced at least ten years ago, before the property boom, and not now when the property market has crashed. We now have a situation where some management companies are insolvent and in disarray as a result of being poorly managed and run into the ground by developers. Others were too large from the beginning and fees and arrears were not collected.

Many apartment owners are highly stressed and angry with the Government because of its procrastination in introducing legislation in this area. A proper explanation has not yet been given as to why it has taken so long. Moreover, all the Government has to show after all this time is a half-baked 28-page Bill which was changed, as the Minister said, as it went through the Seanad. It should have been introduced when apartment building became the norm in the Irish property market. A situation should never have been allowed, never mind allowed to persist for a decade, where an industry was entirely unregulated. The perception is out there - and the Minister must nip it in the bud if it is incorrect - that he was lobbied heavily by his party's buddies in the property industry who did not want this legislation to be introduced.

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