Stephen Donnelly (Wicklow, Independent)
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181. To ask the Minister for Finance further to the recent statement by the chief executive officer of the National Asset Management Agency that it has a potential €4 billion to invest in Irish property development, including €1 billion already spent, the position regarding NAMA evolving from an asset manager into the State’s biggest property developer; his views that the agency has the necessary skillsets to adopt such a role; and if he will make a statement on the matter. [38002/14]

Michael Noonan (Limerick City, Fine Gael)
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The Deputy is incorrect to suggest that NAMA intends to evolve into a property developer. NAMA's mandate is to achieve the best financial return for the State from the loans acquired by it and the asset management of the underlying security.  The provision of development finance to enhance the ultimate disposal value of assets securing its loans is entirely consistent with this mandate. There is clearly therefore no change in NAMA's strategy.  NAMA has already provided €1bn in funding for Irish residential and commercial development projects since its acquisition of loans in 2010.  To the extent that it makes commercial sense to fund the development of projects under the control of its debtors and receivers, NAMA is well placed to do so. Development projects, in any particular instance, will be managed by debtors, receivers or by third-party partners.  I should also point out that NAMA does not own properties.  Rather, NAMA, in its capacity as a secured lender, facilitates development via funding for viable commercial and residential projects under the control of its debtors and receivers.  With emerging shortages in the Dublin residential and office sectors, it is reasonable that NAMA should seek to contribute, in so far as this is consistent with achieving the best financial return, to meeting those emerging shortages and it is this decision by the NAMA Board that I have endorsed in my recent S227 review.

I am satisfied that NAMA's professional and qualified staff, comprising finance, planning, property and legal specialists, are best placed to bring coherence, direction and drive to the development of secured assets by NAMA's debtors, receivers and third-party partners. The Deputy may be aware that NAMA has established dedicated Docklands SDZ and Residential Delivery teams to oversee the funding of these two important projects.