Brian Hayes (Dublin South West, Fine Gael) | Oireachtas source

I thank Senator Burke for raising this matter which is important for him and people in Cork city and concerns Our Lady and St Kevin's Hospital, Shanakiel. The Senator has also asked us to clarify the extent of the campus remaining in HSE ownership. Our Lady's Hospital was a mental health institution built in the 1840s. Its construction and size meant that it was not fit for purpose by current standards and was not suitable for the delivery of health care. The complex comprised a number of major buildings, Our Lady's, also known as the Grey building, and St. Bridget's closed in the early 1990s. Our Lady's, St Bridget's and several smaller buildings were subsequently sold by the former Southern Health Board. St. Kevin's, St. Ann's, St. Dympna's and St. John's closed between 2001 and 2009. These buildings and a number of smaller buildings remain in HSE ownership.

St. Ann's was replaced by a high security mental health facility now known as Carrigmore. This facility is stand alone and separated from the remainder of the campus by a pitch and putt course and public roads. The HSE seeks value for money in deciding whether to sell or redevelop properties and this is often a complex and difficult balancing act.

This is often a complex and difficult balancing act.

Property management is governed by the HSE property protocol, which sets out the procedures to be followed when property is bought or sold. The HSE property committee must approve property acquisitions and disposals and will reject any proposal that does not meet the requirements and does not achieve value for money.

Although the property market has been particularly difficult since 2008 and prices can be extremely location-, situation- and condition-dependent, the HSE is managing to sell its properties. This represents a considerable achievement given the current property market and the type of property the HSE has to sell. However, the topography of the Shanakiel campus and the presence of rights of way make its disposal difficult and a particularly complex undertaking.

The HSE is preparing to sell properties that achieve market value. Properties have been withdrawn where below-market-value bids were received. Detailed disposal schedules have been prepared by each region and will be subject to regular review. In addition, market strategies will be reviewed in light of the internal interests and prices being achieved. In order to achieve the best price as quickly as possible, the HSE has reviewed its sale strategy and its initial procedures for approving properties for sale and completing transactions, which should shorten the administrative timeframe. Changes made include: appointing local auctioneers to develop sales strategies specific to each locality; dividing the large sites into lots and focusing initially on the lots in which interest is being expressed; focusing on the sale of agricultural land where possible; and focusing on smaller sites, including vacant and under-used facilities.

The HSE continues to monitor the market for opportunities to dispose of properties which are surplus to its requirements. It also continuously reviews vacant property with a view to refurbishing, rebuilding or redeveloping properties, such as the remaining Shanakiel campus. I happy to keep the Seanad and the Senator informed of any progress on this matter.