Simon Coveney (Cork South Central, Fine Gael) | Oireachtas source

The aim of the local infrastructure housing activation fund is to relieve critical infrastructural blockages to enable the accelerated delivery of housing on key development sites in urban areas with high demand for housing.

Dún Laoghaire-Rathdown County Council received approval for funding of €15.19 million for Cherrywood for the provision of public infrastructure that will support the delivery of 2,000 housing units by 2021 and the potential for a further 6,000 homes in the longer term. LIHAF will facilitate additional social housing of 200 housing units in Cherrywood in the short term through the 10% Part V social housing dividend, with a further potential for 600 housing units in the longer term. Moreover, the overall significant increase of private housing from this strategically located and well-serviced site will help ease the pressure on the housing market generally and on rental accommodation.

In addition to the increased supply of housing generally, the Government is also seeking an increased affordability dividend for the eventual purchasers of private housing. My Department has asked Dún Laoghaire-Rathdown County Council to secure commitments from the developers in this regard. The council is currently engaging with the housing developers to conclude specific agreements relating to finalising the timelines for delivery of the housing and the required affordability commitments. My Department expects that final agreements will be in place by the end of June to facilitate the signing of a formal grant agreement with the local authority in respect of LIHAF funding.

In other words, we will not sign off until we see the detail of the affordability commitment developers will have to make. We are putting in €15 million and we want a dividend from that, in the context of affordability as well as getting houses built quickly.

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