The long-delayed sale of Clancy Barracks at Islandbridge, Dublin 8, is finally to proceed, now that Hamilton Osborne King has been appointed selling agent. The 13.65-acre barracks is expected to make over £20 million (#25.4m) when it goes to tender on June 14th.

The sale was first mooted last year and even though the Department of Defence announced in January that it was going on the market, it took another three months to select a selling agent. In that time the market for development sites has weakened considerably, but this may have little or no effect on the selling price of the barracks because of its high profile location along the south side of the River Liffey between Heuston Station and Kilmainham.

The value of the barracks to a property company will depend on the view it takes of the development potential.

For a start, eight of the 19th century buildings are listed for preservation and the entire barracks has been zoned for housing at a time when high densities are beginning to come through from the local authorities. However, office use may well be sought for part of the site.

The planners will be under pressure to indicate whether they will allow new buildings to be developed in the front courtyard and other areas of the barracks.

Though planners are usually reluctant to make a commitment until they have seen a proposed scheme, developers will be looking for any clue to assess the type of development likely to be approved.

With the main apartment developers largely unenthusiastic about residential schemes in the city because of the unfavourable tax climate and the social housing obligations, it is hardly surprising that Pat Nolan of Hamilton Osborne King also expects interest from institutional users involved in education and healthcare as well as others looking for adminstrative offices.

The volume of development around Islandbridge in recent years will certainly help the Department of Defence to realise a good price for the barracks. Capel Developments and Zoe Developments are well advanced on two successful apartment schemes on the opposite side of the Liffey while, a short distance away, South Dublin Construction has also fared extremely well with a mixed office and apartment scheme opposite Heuston Station at Parkgate Street.

Two office blocks at Parkgate Busness Park let to Baltimore Technologies have come back on the letting market at £21.25 (#27) per sq ft.