Dublin to see €7.5Bn commercial and residential investment

The National Asset Management Agency (NAMA) will invest €7.5Bn in a commercial and residential development programme in Dublin.

NAMA announced details of a major development that will look to create nearly 3 million sq ft of new commercial space in Dublin Docklands and 20,000 new homes in Dublin and other areas where demand is strong.

A total of €5.6Bn funding will be required for the residential programme with peak funding expected to be €1.8Bn. The proceeds raised from sales of completed projects will be recycled to deliver new commercially viable projects.

The residential programme will see 20,000 new homes created with a focus on 3 and 4-bedroom starter homes. 78% of the properties will be in Dublin with 15% in counties Meath, Kildare and Wicklow. 7% will be in areas of high demand.

The Docklands development programme will need total funding of €1.9Bn with peak funding of €500M.

The Docklands will feature 15 new city blocks including Dublin’s tallest office block; 3.8M sq ft of office space; 66,000 sq ft of retail space; 13,000 sq ft of restaurant space; 2000 new homes and 18,000 sq ft of new cultural and community space.

NAMA will seek interested joint venture partners for co-funding and construction of projects in an effort to de-risk the schemes and maximise the contribution of alternative funding, development and construction sectors.

In line with NAMA’s obligations under Section 10 of the NAMA Act, all projects will be required to pass a stringent commercial viability threshold before NAMA approves funding.

NAMA Chairman Frank Daly said: “NAMA has committed itself to funding the delivery of much-needed office space and quality homes and, in doing so, it hopes to leave a lasting and positive legacy for the coming decades.”

Michael Noonan, Minister for Finance, said: “NAMA’s commitment to the Dublin Docklands SDZ combined with its efforts to provide much needed supply of residential units will continue to encourage Start-Ups and Multi-Nationals alike to have confidence in identifying Dublin as the home of choice for their businesses and will allow us to continue to punch above our weight in the global competition to attract and retain talent.

“On the residential side, today’s launch follows on from an announcement I made in my Budget speech that NAMA would be in a position to provide 20,000 additional housing units by 2020. This, in addition to the housing package announced recently by Minister Alan Kelly, demonstrates this Government’s commitment to addressing the housing shortage which is particularly evident in the greater Dublin area.”

Up to 30,000 jobs will be generated when construction is at its peak by the funding programme.

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