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Local Infrastructure Housing Activation Fund

Dáil Éireann Debate, Wednesday - 31 January 2018

Wednesday, 31 January 2018

Questions (69, 100, 107)

Martin Heydon

Question:

69. Deputy Martin Heydon asked the Minister for Housing, Planning and Local Government the status of the local infrastructure housing activation fund, LIHAF, scheme; the way in which projects under tranche one are progressing; if excess funds are available; when tranche two will be opened; and if he will make a statement on the matter. [4580/18]

View answer

Catherine Murphy

Question:

100. Deputy Catherine Murphy asked the Minister for Housing, Planning and Local Government if the details of agreed costs for LIHAF sites and all grant agreements that have been signed and approved will be published; the costing and sales prices in addition to the legal binding agreements that apply to all grant approved and grant agreed locations; and if he will make a statement on the matter. [4346/18]

View answer

Eoin Ó Broin

Question:

107. Deputy Eoin Ó Broin asked the Minister for Housing, Planning and Local Government the number of units to be developed in schemes benefitting from LIHAF; and the number of these units that will be sold in ranges (details supplied) by Dublin and outside Dublin respectively. [4584/18]

View answer

Written answers

I propose to take Questions Nos. 69, 100 and 107 together.

Up to 34 infrastructure projects, at a total cost of €226 million, received preliminary approval for funding in March 2017 under the Local Infrastructure Housing Activation Fund (LIHAF). Local authorities were allowed to proceed to design phase on all of these projects, pending final approval and sign-off of a grant agreement between my Department and Local Authorities.

To date, I have given final approval for 29 of the 34 infrastructure projects which will activate supply of almost 18,000 housing units on previously inaccessible sites, and grant agreements in respect of those projects have been signed.  The cost of these projects is €177 million, of which €133 million will be funded by my Department and €44 million will be funded by local authorities.  Discussions on the remaining projects are being finalised or have been moved for consideration under LIHAF 2 later in 2018.

While it will not be possible to publish the local agreements reached by local authorities with developers regarding all of the associated sites, due to the commercially sensitive nature of that information, I intend to publish summary details on all the approved and advancing projects in February, once final positions regarding the remaining projects in the first tranche have been reached.

My Department is monitoring the progress of the projects and most are at the planning stage with regard to design, planning and public procurement of the public infrastructure that is being funded.  Construction works commenced for one project (Donabate Distributor Road) in December 2017 and I expect other projects to commence construction this year. 

Funding of €1.67 million was drawn down in respect of projects in 2017 which was mainly in respect of design costs and it is expected that this will increase substantially in 2018 as projects move to the construction stage.  Funding for LIHAF is ring-fenced within the overall housing budget and will be available for local authorities to drawdown over the lifetime of the projects.  Through proactive management of the broader housing programme, the LIHAF underspend in 2017 was diverted to other housing activities, ensuring that the funding available in 2017 was fully applied to housing priorities.

Within the 18,000 new homes being advanced on LIHAF sites, it is expected that increased numbers of social housing over and above the 10% under Part V will be provided. Subject to the planning process and the eventual development applications made, it is estimated that approximately 3,000 of the 18,000 new homes will be for social housing purposes, made up of Part V units and additional social housing which will be provided on the 13 State-owned sites benefitting from the LIHAF-funded enabling infrastructure.  In addition, it is estimated that 1,500 affordable homes will be provided.

As required under the scheme criteria and conditions, a key focus has been to ensure that there is a proportionate dividend for the State’s investment in infrastructure, as demonstrated by either provision of housing at scale at certain prices, a proportionate reduction in house prices across all of the homes being facilitated or a specified number of homes which will benefit from a larger price reduction. In relation to the 29 sites for which grant agreements have been signed, and subject to completion of the planning process, the number of houses committed to be delivered on each site will be set out in the following table.

Based on the information provided by the local authorities in their local agreements and analysis of current house prices in the areas concerned, and recognising the commercial sensitivity around some of the details in the agreements reached, the approved projects outside Dublin are projected to have new homes for sale towards the lower end of the bands identified, while the projects in Dublin are projected to have starter homes available towards the upper end of those bands.

Local Infrastructure Housing Activation Fund

Local Authority

Project name

Total Cost

Projected housing delivery by 2021

Clare

Claureen, Ennis

3.66

200

Cork City

Old Whitechurch Road

9.89

600

Cork City

South Docks

15.50

620

Cork County

Midleton (Water-rock)

5.50

520

Cork County

Carrigaline

0.60

400

 Cork County

Glanmire

5.90

300

Dublin City

Dodder Bridge

15.75

1500

Dublin City

Belmayne Clongriffin

3.00

850

Dun Laoghaire Rathdown

Cherrywood

15.19

2000

Dun Laoghaire Rathdown

Clay Farm

4.70

350

Dun Laoghaire Rathdown

Woodbrook Shanganagh

4.16

1242

Fingal

Donabate Distributor Road

15.50

1200

Fingal

Oldtown Mooretown

4.90

800

Fingal

Baldoyle Stapolin 

6.18

500

Kildare 

Sallins

0.93

250

Kildare

Naas

6.00

800

Kildare

Maynooth

14.50

800

Kilkenny

Ferrybank

0.62

200

Kilkenny

Western Environs

6.76

530

Limerick

Mungret

10.50

400

Louth 

Newtown Drogheda

1.22

200

Louth 

Mount Avenue Dundalk

3.33

212

Meath

Ratoath

3.15

266

Meath

Farganstown, Navan

5.68

400

South Dublin

Kilcarbery / Corkagh Grange

4.39

1000

South Dublin

Clonburris SDZ

3.00

1000

Waterford City and County Council

Gracedieu

1.32

200

Waterford City and County Council

Kilbarry

3.39

400

Westmeath

Brawny Road, Athlone

1.83

200

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