Nine out of ten sites sold off by Nama lying idle, FF TD reveals

MORE than nine out of ten sites sold by Nama are lying idle, according to shocking new figures.

In total, space for 50,491 ‘potential housing units’ has been sold by Nama since 2011 but only 3,670, or just 7.2%, of those units are under construction, leaving 46,821 units ‘not being built as a result of land-hoarding or sites being unserviced’.

The Government has been heavily criticised for not being tougher on those who are sitting on properties needed to alleviate the ongoing housing crisis.

The figures were released by Fianna Fáil’s housing spokesperson, Barry Cowen.

The Offaly TD said that ‘the extent of the hoarding of residential land is greatly exacerbating the crisis’.

‘This is a national travesty and a result of Government housing policy and deference to international investors,’ Mr Cowen said.

‘We know the cost of land is a key determinant holding back new construction. Despite this, the Department of Finance is incentivising investors to sit on sites and not to develop them through the Capital Gains Tax exemption for lands bought prior to the end of December 2014 and held for seven years.’

The figures revealed that 18 counties had no development at all of potential units sold by Nama, with Cavan the only county without any sales. In Dublin, 87.4% of sites sold were lying idle, while Cork had 99.3% and Limerick had 98.5%.

Galway, Kerry, Donegal, Waterford and Laois all had a high volume of sites sold but had no development at all.

Mr Cowen said the Government should reduce the holding period to four years and increase the new Vacant Site Levy – set at 3% of the market value of the land – which comes into effect in January of next year. At the time of going to print, the Department of Housing had not responded to queries from the Irish Daily Mail.