Housing association Clúid has bought a 328-unit residential development in Tallaght, Co Dublin, for almost €160 million, which it is putting on the market for social housing as well as its biggest cost rental scheme to date.
The agency bought the development at Airton Plaza from property investment group ESR Europe for a fee understood to be about €159.7 million. The scheme also features commercial spaces, retail units, and a creche, though these will not be owned or managed by Clúid.
Airton Plaza, which spans about 270,000 sq ft, was developed by Mableground, a property developer based in Dublin’s docklands, while Glenbrier Construction, a builder based in Co Meath, was the main contractor.
In a statement to The Irish Times on Friday, Clúid described the project as its biggest cost rental scheme to date. It opened applications for cost rental tenants in November, and expects the new social and cost rental residents to begin moving in this month.
The State-subsidised cost rental model offers long-term tenures and stable rents at about 25 per cent below local market rates. Cost rental housing is aimed at low and middle-income workers earning up to €66,000 after tax. However, other eligibility terms apply.
Clúid said it will be opening applications for 90 two-bed apartments at the Tallaght scheme on Wednesday. Interested members of the public will be able to apply online for two weeks and successful applicants will be selected via lottery.
Rent for the 75 one-bed cost rental apartments is €1,400 per month, which represents a saving of 26 per cent on the market rent for a similar apartment in the area.
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For the 148 two-bed cost rental apartments, rent is €1,715 each per month, a 27 per cent discount on market rents.
The seven three-bed cost rental apartments at €1,800 per month offer the greatest discount on market rents, representing a saving of 34 per cent.
Clúid said the rates had been set to cover the cost of construction, maintenance and operation of the development “ensuring long-term affordability for residents”.
“In addition to the low cost to run these brand-new homes, new cost rental residents will also benefit from secure, lifelong tenancies and high-quality, responsive management and maintenance,” the group added.
Rent for the 98 social apartments will be set according to South Dublin County Council’s differential rent policy, so residents are paying a rate based on income.
The homes in Airton Plaza are spread across two main blocks connected by a central landscaped courtyard, including outdoor communal space and a children’s play area.
Airton Plaza is close to a number of amenities, including Tallaght Hospital, TU Dublin’s Tallaght campus, as well as shopping and leisure amenities such as the Belgard Retail Park and The Square shopping centre. The homes are also close to bus and Luas routes.
Clúid Housing chief commercial officer Eibhlin O’Connor said the new A-rated homes “will provide much needed social and cost rental homes in the area”.
“These apartments will provide high-quality, stable, secure, long-term homes for 328 individuals and families, allowing them to put down permanent roots in the vibrant community of Tallaght,” she added.
There has been significant interest in the cost rental scheme since its introduction and it is often over-subscribed.
Applicants for cost rental schemes must be able to demonstrate they can afford the advertised rent, which should not account for more than 35 per cent of their monthly net income, although some flexibility is allowed for renters who can show they were managing to pay higher rents in the private sector.
The scheme is designed for would-be renters who do not qualify for social housing but who cannot access the private market without support.
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