Two top-class redevelopment sites in the north and south Dublin suburbs are to be offered for sale at a fraction of their original valuations, writes JACK FAGAN
Wesley Rothwell, of CB Richard Ellis, is quoting a guide price of €1.5 million for the former Shandon Bakery Mill at Phibsborough in Dublin 7, and €795,000 for the site of the former Classic Cinema at Harold’s Cross Road in Dublin 6W.
The Harold’s Cross plot of 0.12 of a hectare (0.3 of an acre) should be first to sell because of its pivotal location in a densely populated area. The cinema has already been demolished and the odds are that the site will be used for a mixed development to include a retail element as well as either offices or apartments.
It would obviously appeal to either Aldi or Lidl if it had more on-site car parking space (the two German discounters seldom settle for a site of less than an acre).
However, it may well appeal to Tesco Express or Marks Spencer, given its location in an affluent area. The vendors are Capel Developments, who are also selling the former Sunday World site in the centre of Terenure village. It bought the 0.46 of a hectare site at the height of the property market for €18.3 million. The valuation has since slipped to €5 million.
The Phibsborough site, which extends to 0.65 of a hectare (1.6 acres), is also located immediately beside a busy junction, Cross Guns Bridge. It has 150 metres of frontage onto the Royal Canal. The property includes a number of derelict inter-connecting buildings, the largest a cut-stone former mill, as well as a tower building.
The sale has been called by Kavanagh Fennell, receivers to Stateford, who were refused planning permission by An Bord Pleanála for a high-rise mixed development varying from 2 to 13 storeys and comprising mainly residential units.
Rothwell said a series of feasibility studies have shown that there was potential to develop a medium-density residential scheme with a capacity of 33 to 45 homes and including a mixture of houses and duplex units.
Irish Times
www.buckplanning.ie
Showing posts with label planning and property values. Show all posts
Showing posts with label planning and property values. Show all posts
Wednesday, 9 November 2011
Sunday, 15 July 2007
Negative equity affects 10,000 homeowners
Up to 10,000 first-time buyers who bought homes over the past year are experiencing negative equity - meaning they now owe more than their home is worth.
The number of borrowers buying first homes with 100 per cent mortgages stood at 36 per cent last year and 24 per cent in the first half of this year, according to separate figures released by the government and a group representing mortgage brokers last week.
This means that up to 10,000 borrowers have taken out 100 per cent mortgages since the property market began to peak last summer, based on data provided by the Irish Banking Federation (IBF), the group representing banks and other mortgage lenders.
The Permanent TSB/ESRI house price index showed average homes bought by first-time buyers were worth less last month than at any time since last summer. So borrowers who took out 100 per cent mortgages since then now own properties worth less than they owe on their mortgages. The average price paid by a first-time buyer at the end of May stood at €272,000, according to the Permanent TSB/ESRI index.
This represented a drop of 1.8 per cent on the previous month, but also meant properties aimed at the first-time buyer market were now worth less, on average, than those bought at any stage in the previous 12 months.
Fears that the house price index has yet to reflect the full extent of house price falls were exacerbated recently when one of the country’s top mortgage lenders, Permanent TSB, said it would lend 20 per cent less to new borrowers this year than last. Among the reasons for this, cited by analysts, were rising interest rates and increasingly negative sentiment towards the housing market.
In addition, some property developers and estate agents are offering incentives to buyers worth thousands of euro, such as cashback deals, or free furniture and household equipment, which could distort the index by recording a sale at a higher price than the buyer has effectively paid.
AIB chief economist John Beggs said recently that house prices were likely to fall further over the remainder of this year.
This would increase the gap between the amount owed by individual first-time buyers and the value of their property.
Sunday Business Post
The number of borrowers buying first homes with 100 per cent mortgages stood at 36 per cent last year and 24 per cent in the first half of this year, according to separate figures released by the government and a group representing mortgage brokers last week.
This means that up to 10,000 borrowers have taken out 100 per cent mortgages since the property market began to peak last summer, based on data provided by the Irish Banking Federation (IBF), the group representing banks and other mortgage lenders.
The Permanent TSB/ESRI house price index showed average homes bought by first-time buyers were worth less last month than at any time since last summer. So borrowers who took out 100 per cent mortgages since then now own properties worth less than they owe on their mortgages. The average price paid by a first-time buyer at the end of May stood at €272,000, according to the Permanent TSB/ESRI index.
This represented a drop of 1.8 per cent on the previous month, but also meant properties aimed at the first-time buyer market were now worth less, on average, than those bought at any stage in the previous 12 months.
Fears that the house price index has yet to reflect the full extent of house price falls were exacerbated recently when one of the country’s top mortgage lenders, Permanent TSB, said it would lend 20 per cent less to new borrowers this year than last. Among the reasons for this, cited by analysts, were rising interest rates and increasingly negative sentiment towards the housing market.
In addition, some property developers and estate agents are offering incentives to buyers worth thousands of euro, such as cashback deals, or free furniture and household equipment, which could distort the index by recording a sale at a higher price than the buyer has effectively paid.
AIB chief economist John Beggs said recently that house prices were likely to fall further over the remainder of this year.
This would increase the gap between the amount owed by individual first-time buyers and the value of their property.
Sunday Business Post
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