Eoin Ó Broin (Dublin Mid West, Sinn Fein) | Oireachtas source

Part of my concern is that, as we know, the Government's previous targets for leasing were always significantly behind. For example, 2,000 were to be delivered last year according to the target set the year before but, of course, only half of that figure was delivered. What has changed, however, is market sentiment. There has been a significant increase in the desire of institutional investors to diversify their property portfolios. We know from speaking to local authority managers that there is far greater interest in that regard. That makes sense because the yields are much higher, they are secure and there is less risk compared with activity that is more in the private sector.

All I am urging the Minister to do, not just with respect to the Part Vs but also with leasing more generally, is to seriously consider phasing out leasing where it does not represent value for money and does not provide lifetime security of tenure for tenants, unless there is a clear case that it makes sense. The 25-year cost of the most expensive Part V lease, albeit an outlier in Dún Laoghaire-Rathdown from 2019, at €28,000 per year per unit, is €700,000. That simply makes no sense and surely is not something the Minister could support.

See this speech in context