Michael McGrath (Cork South Central, Fianna Fail)
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Question 77: To ask the Minister for Finance if he has any concerns that an agent, acting on behalf of the National Assets Management Agency has concluded a deal for the sale of a 450 acre landbank in County Cork (details supplied) without putting the landbank on the open market effectively excluding potential bidders from the process; and if he will make a statement on the matter. [22515/12]

Michael Noonan (Limerick City, Fine Gael)
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In relation to the particular transaction to which the Deputy refers, NAMA has advised me that the sales agent was acting on behalf of the debtor and that a competitive sales process was undertaken. The debtor was not in liquidation. I understand from NAMA that the sale was managed and implemented on behalf of the debtor by a firm of professional sales agents. Following wide engagement with viable interested parties, a special purchaser emerged in respect of the entire holding of 450 acres at a price considerably in excess of that guided by the retained professionals. It was the considered advice of the sales agent that the offer from this purchaser would be accepted.

I further understand that NAMA, on receipt of this information, commissioned a second independent report by another professional firm, which agreed with the original guide price. On the basis of this independent valuation advice, which established that the price offered was 40% in excess of the 2 independent valuations and taking account of the fact that the offer was for the entire holding rather than for individual land plots within it, NAMA granted its approval to the debtor to proceed with the sale on the advised terms on the basis that this maximised the recovery for the taxpayer. I understand from NAMA that this site, like all sites, would have been advertised except that the special purchaser emerged offering 40% over the independent valuations of the site's worth.