14 July 2024
By Mary Bermingham
mary@TheCork.ie
More houses of any kind is positive news
Cork City Council, in partnership with Citidwell Developments Ltd, is about to launch the first affordable housing scheme in the south east of the city at Seaberry Drive, Cooneys Lane, Meadow Brome, Grange, Douglas, on the South side of Cork City.
This launch follows successful earlier affordable housing schemes at Newton Heights, Boherboy Road, Cluain Chaoin, Tower, Crann Darach, Montenotte, Ardrostig, Bishopstown, Heathfield, Ballincollig and most recently, at Danesfort, Whites Cross.
This scheme brings the number of new, affordable homes made available through Cork City Council’s Affordable Housing Scheme to over 300 houses, enabling buyers to access quality, affordable, sustainable homes in highly sought-after locations across Cork City. The development consists of 16 affordable homes, including 10 three-bedroom end of terrace houses and 6 three-bedroom mid terrace, A2 rated, spacious homes
Welcoming the launch of the scheme, the Lord Mayor of Cork, Cllr. Dan Boyle said:
“As a local authority, we are committed to meeting our objective of delivering high quality affordable homes for the people of Cork. This new scheme, the seventh scheme to launch under the council’s Affordable Housing initiative, demonstrates the work that Cork City Council is doing to achieve the targets set by government. I want to thank both Citidwell Developments Ltd. and Cork City Council for their work in delivering this project”.
Brian Geaney, Deputy Chief Executive, Cork City Council, said:
“The launch of a seventh affordable housing scheme at Seaberry Drive, Meadow Brome in Grange shows Cork City Council’s commitment to developing an extensive affordable housing programme. The 16 affordable townhouses, one element of the larger residential development, will provide a further supply of high-quality homes for eligible applicants in Cork and assist in meeting housing targets, set out in the Government’s National Housing Plan, ‘Housing for All’.
It is envisaged there will be significant interest in this scheme which is located in a sought-after suburb with good public transport connections and proximity to many amenities and services. These homes will be available for sale via Cork City Council’s ‘Local Authority Affordable Purchase Scheme’,
The homes are for sale from approximately 20% below open market values to those who qualify for the Affordable Housing Scheme. For eligible applicants, the mid terrace three-bedroom homes will be available from €313,500 and end of terrace three-bedroom homes from €321,000.
The Seaberry Drive Affordable Housing Scheme homes are generally available for first-time buyers who do not already own a property, although exceptions will apply for ‘Fresh Start’ applicants.
Income limits apply and potential applicants are advised to familiarise themselves with the qualification criteria and the documentation required, details of which are available on www.seaberrydrivegrange.ie
Under the terms of the scheme, purchasers will enter an ‘Affordable Dwelling Purchase Agreement’ with the local authority, which will see the council retaining a percentage equity share in the house equal to the difference between its open market value and the price paid by the purchaser.
Applications may be made between 12 noon on Tuesday, 30th July, 2024 and 12 midnight on Tuesday, 20th August 2024 via an online application portal, available on www.seaberrydrivegrange.ie
Applicants are strongly encouraged to familiarise themselves with the documentation required to apply for the Scheme, as interest is expected to significantly outweigh the number of houses available for purchase.
But are the houses “affordable”?
Soc Dems
Recent photo of Social Democrats Cork City Councillor Pádraig Rice
Newly elected Social Democrats Cllrs Pádraig Rice has raised concerns about the Council’s latest affordable housing scheme in Grange. Cllr Rice is the first and only Soc Dems Cllr in City Hall.
He said
“These so-called affordable homes will be out of reach for most people.
“There are so many families in Cork who are stressed and worried about securing a home of their own. When so-called affordable schemes are priced at this level, it just adds to their stress.
“No one should be saddled with this much debt to own an ordinary home. On top of the high up front cost the equality stake will need to be repaid in future. We can’t allow this to become the norm.
“There is another way of doing this. The Council could built houses on state-owned land and sell or rent these at cost. These would be truly affordable homes.
“The scheme launched today is not an affordable housing scheme. It’s a branding exercise that seeks to present expensive houses as affordable”
Sinn Fein
Meanwhile Sinn Féin TD for Cork South Central Donnchadh Ó Laoghaire TD has responded to the announcement, he described the affordable housing scheme launched today as ‘still beyond the reach of far too many workers and families’.
File photo of Sinn Féin TD for Cork South Central Donnchadh Ó Laoghaire TD
“The minimum price for a 3 bedroom house is about €321. That means the market value is probably €400,000 so someone getting the 5% reduction will probably be paying €380,000. Either way, families if they want to own it outright will still have to pay the €400,000 and pay off the equity in €10,000 chunks.
I believe it is possible to deliver affordable homes for much less than the very likely €380,000 for a 3 bed that many purchases will end up paying for these homes. While new homes are welcome, and I am sure those who move in will be very happy in them. The reality is that the minimum price will not be available to very many middle income families.
“The reality of the way the Government scheme is structured means that if you have two incomes of approx. 40k in a household, a working couple starting out and hoping to have a family, they will most probably be paying €380,000 for a 3 bed.”
Donnchadh Ó Laoghaire TD continued
“There is a better way, because these prices are still beyond the reach of far too many workers and families.”
“Sinn Féin would deliver affordable schemes by absorbing the cost of land and servicing, and at a rate that is actually affordable to families and workers, instead of housing that too many people cannot in fact afford, not much below the completely dysfunctional market rates.”
“We need to be much more ambitious for affordable homes. So many workers and families who don’t qualify for social housing have very little options, they are relying on affordable housing schemes, but if they aren’t affordable where do they go?“