Thomas Gould
Question:822. Deputy Thomas Gould asked the Minister for Housing, Local Government and Heritage if he has engaged with Cork City Council on the cost of their affordable housing units. [41713/22]
View answerTuesday, 26 July 2022
Questions (822, 823, 824, 825)
Thomas Gould
Question:823. Deputy Thomas Gould asked the Minister for Housing, Local Government and Heritage if his attention has been drawn to the fact that affordable housing in Cork will be more expensive than existing schemes in Dublin. [41719/22]
View answerThomas Gould
Question:824. Deputy Thomas Gould asked the Minister for Housing, Local Government and Heritage if he has engaged with Cork City Council on its affordable housing scheme with specific reference to pricing of the scheme. [41720/22]
View answerThomas Gould
Question:825. Deputy Thomas Gould asked the Minister for Housing, Local Government and Heritage the price for a home in Cork city that he considers affordable. [41721/22]
View answerWritten answers
I propose to take Questions Nos. 822 to 825, inclusive, together.
Funding is made available by Government to assist local authority and Approved Housing Bodies (AHBs) delivery of affordable housing, for purchase and rent, through the Affordable Housing Fund, previously known as the Serviced Sites Fund, and the Cost Rental Equity Loan (CREL).
From the outset, I wish to advise that the prices at which affordable homes are made available are determined by local authorities having regard to a range of key factors including, inter alia, the cost of construction, cost of land, density of the scheme which impacts on the subsidy available and local market values. Cork City Council has advised that the affordable purchase prices for the schemes currently being advertised in Cork represent a significant discount on market values prevailing locally.
Two Affordable Housing Fund supported schemes will deliver affordable housing in Cork City this year. Cork City Council has advised my Department that the first two phases of the Boherboy Road project in Cork City, involving a total of 117 affordable purchase homes, will see 37 of those homes completed. These homes were advertised for applications to purchase this month. Cork City Council has advised my Department that two bedroom homes will cost €218,000 and a three bedroom home will cost €243,000.
In addition, a development at Cluain Chaoin in Tower will deliver 36 affordable purchase homes in two phases and were also advertised this month. The prices for these homes will be €237,500 for a two bedroom home, €275,000 for a three bedroom home and €300,000 for a four bedroom home.
Nationally, approval in principle has been confirmed for approximately 900 new Cost Rental homes to be delivered in urban centres by AHBs under the CREL scheme over the period 2021-2023. Of these initial approvals, approximately 150 are scheduled to be delivered in Cork City in 2022 and 2023, across four different sites. The first 73 Cost Rental homes in Cork are scheduled for delivery by the Clúid AHB at Lancaster Gate, Cork City, later this year.
Furthermore, the Land Development Agency (LDA) are currently working on the former HSE site at St. Kevin’s Hospital in Cork City. The LDA have secured planning permission for 265 social and affordable homes. Work will begin on site this year and the first homes are expected at the end of 2023.
The planned delivery of affordable housing, in accordance with the Affordable Housing Act 2021, is set out in local authorities' Housing Delivery Action Plans. Preparation of the Plans allowed each local authority to assess the level of demand with affordability constraint in their area based on the Housing Need and Demand Assessment and plan provision accordingly. They provide a comprehensive national overview of projected delivery of affordable housing.
The recently launched First Home Scheme to support affordable purchases of new homes in the private market will operate nationwide. Targeted at First Time Buyers or those eligible under the Government’s ‘Fresh Start’ principle, the Scheme will be delivered via a strategic partnership between the State and participating mortgage lenders, and was launched last week. It will improve access to newly-built homes by using a shared equity model to bridge the gap between mortgage finance and the cost of new homes. The homes must be priced within regional price ceilings which will reflect the median prices paid by First Time Buyers for new homes in each area, so this is an intervention to support homeownership in the lower region of the market.
Question No. 823 answered with Question No. 822.
Question No. 824 answered with Question No. 822.
Question No. 825 answered with Question No. 822.
Question No. 826 answered with Question No. 669.