Health Minister Mary Harney is adamant that the new children's hospital will be at the Mater hospital and has ruled out a potential new site west of Dublin.
It emerged today that a developer has sought planning permission for a 12-storey hospital between Newlands Cross and Citywest beside the N7. He planned to sell the site to the Government if he received planning permission.
However, Ms Harney ruled out the site today, saying that it had been considered already and was deemed unsuitable for the new children's hospital.
Ms Harney said that the new hospital had to be co-located with an adult hospital and that Beamount, St James's and the Mater had been the only contenders, with the Mater being the preferred option.
Ms Harney said that in many countries city centre locations were the preferred option for children's hospitals.
The siting of the children's hospital at the Mater has been heavily criticised over space limitations and potential car parking problems.