‘APPALLING’
»» State bodies’ €175m »»docklands building hq rent deal slammed on sale for just €164m
TWO State agencies are set to splurge €175million renting a new headquarters which could have been bought for €164million.
The National Treasury Management Agency and Nama will spend the multi-million haul on leasing the new premises.
Both bodies had looked into buying a building but were told Government policy meant they were required to rent a new HQ instead of buying one.
Independent TD Catherine Connolly described the decision as “appalling” and insisted it needs to be reversed.
She said: “I don’t think it’s value for money and that’s what we’re concerned about in the Public Accounts Committee.
“This is the NTMA, which is tasked with protecting the taxpayers’ money.” The NTMA, which manages the State’s debt, will rent the new Dublin Docklands HQ for €7million a year. And over the course of the 25-year lease this will add up to €175million. A further €18million is being spent by the NTMA and Nama on fitting-out their new base with €6million extra being given by the German owners for the Dublin Landings Number One building. Fine Gael TD Kate O’connell also slammed the decision to rent the “most expensive place in Ireland”.
She told the Sunday Business Post: “The NTMA is around forever so it would make far more sense for them to have their own building, especially at that cost.” The NTMA has described the move as “cost neutral” as it works out as €49.24 per sq ft, compared to €48.13 per sq ft for the current Treasury Building headquarters.
An NTMA spokesman said: “If the NTMA had remained in the Treasury Building, it would have faced upward-only rent reviews in 2020 and 2021 and it is likely the new rent at the Treasury Building would have exceeded the rent payable in Dublin Landings.”
Meanwhile, it also emerged Nama has a 20% stake in the Dublin Landings building it is moving into.
This ownership means it has made close to €33million from the building’s sale for €164million to the German pension fund.