Mattie McGrath (Tipperary, Independent)
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517. To ask the Minister for Housing, Planning, Community and Local Government if he will address concerns that local authorities are having to reject substantial numbers of properties offered to them by NAMA due to legal title or management issues or that the properties offered are below local authority compliance standards; and if he will make a statement on the matter. [1552/17]

Simon Coveney (Cork South Central, Fine Gael)
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The Housing Agency recently published data up to the end of December 2016, in relation to cumulative delivery of social housing by NAMA. This information and associated breakdowns is available on the website of the Housing Agency at the following link:

To date, NAMA has identified a total 6,944 units that could be potentially made available for social housing. The local authorities and the Housing Agency have been working systematically through these units with NAMA to determine if there is a social housing demand for the properties identified as potentially suitable for social housing.

1,770 of the units, having been initially identified by NAMA as potentially available for social housing prior to consultation with the relevant receiver or owners, were subsequently sold or let privately by the receiver and were therefore recorded as ' No longer available'. Demand was confirmed by local authorities for 2,751 of the available units and as at end 2016, 2,378 of these have been secured for social housing with the remaining units at various stages of progression.

According to the information available to my Department and Housing Agency, it does not appear to be the case that local authorities rejected properties offered to them by NAMA due to legal title or management issues or because the properties offered were below local authority compliance standards. In that context, the process is such that the Housing Agency contacts all the relevant local authorities to discuss the demand requirements and to co-ordinate the response to NAMA offers. Where a demand is identified by a local authority, this information is provided to NAMA and efforts are made to secure as many of the suitable properties as possible for social housing. It is only once demand is confirmed that more detailed information on the units is provided to either the local authority or to the Approved Housing Body (AHB). It should be noted that the vast majority of information relating to planning, title etc. would only have come to light during the due diligence process which followed.

It is the established process that property handed over by NAMA is fully remediated to full compliance with all construction and building standards, and in compliance with the conditions of planning and local authority regulations. Additionally, prior to hand-over, any issues relating to legal title or financial matters have been fully regularised. As a result, no local authority or AHB would be liable for costs relating to remediation works, or legal fees relating to title issues.

The majority of units that have been delivered through this programme had issues requiring resolution, e.g. many in unfinished housing developments. The variety of these issues have ranged from title issues, imperfect security, judgment mortgages, insolvent owner/developer, receivership appointments, non-compliance with planning or building regulations, insolvent management companies, non-compliance with Multi-Unit Development Act 2011 etc.  

The Special Purpose Vehicle (NARPS), established by NAMA, to expedite the transfer of these units has resolved all of these issues for properties it has acquired to ensure that full and marketable title is held. For those properties that were directly sold to AHBs or local authorities, NAMA has also funded its debtor or Receiver to resolve these issues prior to sale, unless a substantial discount was accepted for the properties in lieu of resolution.