Written answers

Thursday, 23 February 2017

Department of Housing, Planning, Community and Local Government

Repair and Leasing Scheme

Photo of John CurranJohn Curran (Dublin Mid West, Fianna Fail)
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216. To ask the Minister for Housing, Planning, Community and Local Government when he will extend the repair and leasing initiative (details supplied); and if he will make a statement on the matter. [9136/17]

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
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I can confirm that following the success of the initial pilot in Waterford and Carlow local authorities, the Repair and Leasing Scheme (RLS) is being rolled out on a national basis from today.

I am making an additional €26m available to fund the scheme in 2017, which brings the total amount available this year to €32m. This additional investment in 2017 means that delivery under the scheme can be accelerated and up to 800 vacant properties can be brought back into use as new homes for families on local authority waiting lists this year. This funding represents a frontloading of the €140m being made available for the scheme over the next 5 years.

I will be carefully monitoring the scheme in 2017 to ensure that it works and is cost effective. Likewise, this analysis will assist in determining its delivery potential for future years, as well as whether additional financial resources are required in that context.

The scheme is targeted at owners of vacant properties who cannot afford or access the funding required to bring them up to the standard for rental property. Subject to the suitability of the property for social housing, and the agreement of the property owner, the cost of the necessary repairs will be met upfront by the local authority or an approved housing body (AHB). This allows for the property owner to sign-up to a lease arrangement for a length that is linked to the value of the repairs, subject to a minimum of 10 years. The value of the repairs will then be offset incrementally against the agreed rental payment over a defined period within the lease.

A property owner can either choose to arrange a contractor to carry out the repairs themselves, or the local authority or AHB can arrange this instead. Property owners will not be required to take on landlord responsibilities and the local authority or AHB will have on-going management and maintenance responsibilities in respect of the properties.

The local authority will determine the eligibility for the scheme, having regard to the location and the suitability of the property for social housing and also taking into consideration the extent of the repairs that may be required. The maximum costs of repairs allowable under this initiative will be €40,000. My Department is working closely with local authorities to implement the scheme locally.

The Repair and Leasing Scheme is one of a number of initiatives in Rebuilding Ireland to address vacant properties around the country. Other initiatives include the Buy and Renew Scheme which provides funding for local authorities to purchase vacant properties and remediate them and a new National Vacant Housing Re-Use Strategy which is currently being finalised.

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