Richard Bruton (Dublin North Central, Fine Gael) | Oireachtas source

The property in question, Carrisbrook House, was acquired by AnCO in 1969 on a 65 year full-repairing lease, commencing on 1 August 1969 and expiring on 31 July 2034. There is no provision for lease breaks and the rent is due for review every seven years. The Industrial Development Authority, IDA, acquired assignment of the lease in 1976.

Since the relocation of the IDA to Wilton Park House in 1985, the Carrisbrook House offices were leased to a number of tenants on a cost-neutral basis to the Exchequer until early 2008, when a major tenant exercised a lease break and vacated the premises. Since then, six floors in Carrisbrook House have been vacant. Forfás acquired responsibility for the lease in 1994 when the enterprise development agencies were restructured. The Israeli Embassy is currently the only occupant of the premises, on a sub-lease which expires in 2025, with lease break provisions in 2015 and 2020.

Forfás has been actively seeking to market the vacant space in Carrisbrook House since it was vacated in 2008. Due to the downturn in the property market and a surfeit of vacant office accommodation in Dublin, these efforts have proven unsuccessful to date. Secretaries General of my Department have written to the Office of Public Works and the Department of Public Expenditure and Reform, advising them of the availability of the office space. The IDA has also been asked to bring the availability of the accommodation to the attention of prospective clients.

The total cost of the vacant space in Carrisbrook House in 2012 is estimated at €1.3 million, inclusive of rent, rates and service charges. It is not possible to speculate on the total potential cost of the vacant space out to 2034, as this will be influenced by issues such as future trends in the property market, the future intentions of the existing occupant, the outcome of the seven-year rent reviews and lease break options, and the possibility that a new tenant or tenants may emerge. In the meantime, Forfás will continue to market the availability of the offices and will continue its efforts to reduce the costs accruing to the State on the property.

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