Dáil Éireann Debate, Tuesday - 15 January 2019
75. Deputy John Curran asked the Minister for Housing, Planning and Local Government the expected number of affordable houses to be provided under the scheme following the announcement in budget 2019 of funding of €310 million for affordable housing in each of the years 2019 to 2021; the number of these houses which will be in the Dublin area; the price range he expects them to sell for; and if he will make a statement on the matter. [1438/19]
View answerIn order to support the affordable housing programmes of local authorities, the Government has committed €310 million, over the three years 2019 to 2021, under the Serviced Sites Fund (SSF) announced as part of Budget 2019. The funding is available for key facilitating infrastructure, on public lands, to support the provision of affordable homes to purchase or rent. I envisage a maximum amount of SSF funding of €50,000 per affordable home and on this basis, at least 6,200 affordable homes could be facilitated.
On 11 December 2018, I issued approval in principle for ten infrastructure projects across five local authority areas, in Dublin and Cork, under the first call for proposals. The first tranche of funding of €43 million will enable delivery of 1,400 affordable homes on local authority lands. I expect infrastructure works on these projects to begin as soon as possible in 2019 and delivery of affordable homes from early 2020 onwards. Details of the projects are set out in the table below. There are five further projects under active consideration by my Department, with the potential to facilitate the delivery of an additional 230 affordable homes. A second call for proposals will issue shortly.
As regards the price range within which the homes will be made available to eligible households, the cost of constructing new affordable homes is dependent on a range of variables, such as the location, the scale of the development and the size and type of the homes involved. However, in preparing their bids for funding under the SSF, local authorities were advised to be guided by the Unit Cost Ceilings (UCCs) for social housing in determining the cost of the affordable homes to be delivered under this programme.
These UCCs are based on the analysis of returned data from tendered social housing schemes over an extended period, and market tender index information. Construction cost is reflective of building costs (including VAT) and also includes normal site works and site development. All-in cost includes cost of construction, land cost, professional fees, utility connections, site investigations/surveys, archaeology where appropriate, VAT and contribution to public art. Abnormal costs are excluded from these figures.
The relevant UCC data for the Dublin local authorities is set out in the tables below.
An important factor in the allocation of funding under the SSF is the capacity to translate that funding into a discount on the affordable homes. In addition, local authorities must consider the market price of similar homes on sale in the equivalent private market and the level of discount on market price envisaged, which will be required under the Affordable Purchase Scheme terms. The objective is to maximise the benefits from public money by funding the best value for money proposals possible.
Table 1: List of projects that have received approval in principle under the SSF first call for proposals
|
Local Authority |
Project/Location |
Total Provisional Cost of Proposal€ |
Provisional Exchequer Grant Amount € |
Provisional Local Authority Contribution€ |
Affordable Housing Potential |
|
Cork County |
Glanmire |
€1,500,000 |
€1,335,000 |
€165,000 |
20 |
|
Cork City |
Boherboy Road |
€4,968,366 |
€4,421,846 |
€546,520 |
103 |
|
Cork City |
Kilmore Road, Churchfield |
€1,410,551 |
€1,255,390 |
€155,160 |
21 |
|
Dublin City |
Cherry Orchard |
€7,645,415 |
€6,804,419 |
€840,996 |
183 |
|
Dublin City |
Balbutcher, Ballymun |
€4,135,351 |
€3,680,462 |
€454,889 |
74 |
|
Dublin City |
Sillogue, Ballymun |
€3,975,000 |
€3,537,750 |
€437,250 |
83 |
|
DLR |
Enniskerry Road |
€4,537,576 |
€4,038,443 |
€499,133 |
50 |
|
Fingal |
Church Fields, Mulhuddart |
€11,000,000 |
€9,790,000 |
€1,210,000 |
753 |
|
Fingal |
Dun Emer, Lusk |
€1,500,000 |
€1,335,000 |
€165,000 |
74 |
|
Fingal |
Hackettstown, Skerries |
€2,198,667 |
€1,956,814 |
€241,853 |
49 |
|
Total |
€42,870,926 |
€38,155,124 |
€4,715,801 |
1410 |
Table 2: Houses, average costs (2017 Unit Cost Ceilings)
|
1 bed |
1 bed |
2 bed (1 storey) |
2 bed (1 storey) |
2 bed (2 storey) |
2 bed (2 storey) |
3 bed |
3 bed |
4 bed |
4 bed |
|
|
Construct |
All-in |
Construct |
All-in |
Construct |
All-in |
Construct |
All-in |
Construct |
All-in |
|
|
DCC |
216,800 |
275,900 |
223,200 |
283,600 |
232,200 |
293,800 |
242,300 |
305,300 |
252,800 |
316,900 |
|
DLR |
182,000 |
234,500 |
187,800 |
240,300 |
195,900 |
249,600 |
205,300 |
260,100 |
214,600 |
270,600 |
|
Fingal |
166,800 |
217,000 |
172,600 |
224,000 |
180,800 |
232,100 |
190,100 |
242,600 |
199,500 |
253,200 |
|
SDCC |
182,000 |
234,500 |
187,800 |
240,300 |
195,900 |
249,600 |
205,300 |
260,100 |
214,600 |
270,600 |
Table 3: Apartments, average costs (2017 Unit Cost Ceilings)
|
1 bed |
1 bed |
2 bed |
2 bed |
3 bed |
3 bed |
|
|
Construct |
All-in |
Construct |
All-in |
Construct |
All-in |
|
|
DCC |
227,700 |
289,600 |
234,400 |
297,800 |
256,100 |
324,000 |
|
DLR |
191,100 |
246,200 |
197,200 |
252,300 |
216,000 |
275,200 |
|
Fingal |
175,100 |
227,800 |
181,200 |
235,200 |
199,300 |
255,900 |
|
SDCC |
191,100 |
246,200 |
197,200 |
252,300 |
216,000 |
275,200 |
