Written answers

Tuesday, 18 October 2011

Department of Environment, Community and Local Government

Regeneration Projects

9:00 pm

Photo of Peadar TóibínPeadar Tóibín (Meath West, Sinn Fein)
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Question 348: To ask the Minister for the Environment, Community and Local Government the cost of the original regeneration tenders for projects (details supplied). [28877/11]

Photo of Willie PenroseWillie Penrose (Longford-Westmeath, Labour)
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I refer to the reply to Question No. 334 of 11 October 2011, setting out the current position in relation to the national regeneration programme and the individual regeneration projects being progressed in Limerick City and in Dublin at St Michael's Estate, O'Devaney Gardens, Dominick Street and Dolphin House.

Dublin City Council previously intended carrying out the regeneration of St. Michael's Estate, O'Devaney Gardens, St. Teresa's Gardens and Dominick Street by way of a Public Private Partnership (PPP). Under these arrangements a significant mixed use development using local authority land assets would have been delivered at no net cost to the Exchequer. By their nature, PPP housing and mixed use projects required a lengthy and complex procurement process. By late 2008 the downturn in the housing market and wider economic conditions had made the original plans for the PPP projects at these locations unviable and, although preferred bidders had been selected for the redevelopment of St. Michael's Estate, O'Devaney Gardens and Dominick Street, these projects were suspended. The detailed information set out in the tender process is not available in my Department. The proposed PPP at St. Teresa's Gardens was still at a very early stage and, in light of the prevailing conditions, the PPP procurement process was also suspended at this location.

Given the pressing need for regeneration in the Dublin city flat complexes, the City Council, with support from my Department, established a multi-disciplinary Special Housing Taskforce to examine the alternative options for the redevelopment of these complexes and, in particular, for the fast tracking of the relocation of households from poor accommodation to better accommodation. Initially, the taskforce prioritised the projects at St. Michael's Estate, O'Devaney Gardens and Dominick Street and developed alternative masterplans that recognised the greater involvement of public sector finance. It is clear that the Exchequer would not be in a position to fully support the original, ambitious masterplans, involving as they did a range of private housing, commercial and office facilities, as well as social housing and community facilities. To date, my Department has provided support for the construction of phase 1 of St. Michael's Estate, for the relocation of households from O'Devaney Gardens to facilitate the demolitions that are now well advanced, and relocations and demolitions at Dominick Street. Planning permission was granted in summer 2011 for O'Devaney Gardens and is pending for Dominick Street, with a decision expected this month. The full costs of the projects will not be available until after the tender process is completed. My Department approved funding of €5.8 million for the first phase of St. Michael's Estate. This is currently under construction.

With regard to the redevelopment of the Charlemont Flat Complex, this remains the City Council's only PPP housing project. Planning permission for a mixed use development with residential units, offices, retail units, restaurants, community sports facilities and a cinema was granted earlier in 2011 and the Council continues to progress the procurement process. It is not possible to estimate the total cost of the project at this stage in the process. However, such projects continue to be based on the leveraging of land assets to deliver mixed-use developments which include social housing at no net cost to the Exchequer.

Dublin City Council has also been progressing an area-wide improvement programme in Cherry Orchard based on the principles of a holistic approach to building sustainable communities. This approach has delivered social, economic and physical improvements to the area, and has involved a range of stakeholders including local community and business interests as well as the City Council. This improvement programme has been delivered by the City Council outside of the National Regeneration Programme.

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