Tuesday 28 March 2017

Site owners in nursing home planning switch

Donal Buckley Commercial Property Editor

Dublin sites for nursing homes are currently valued at between €25,000 and €35,000 per bed and these valuations are encouraging site owners to seek a change of planning permission from apartments to nursing homes.

At a time when some apartment developments sites have sometimes been technically valued at zero, the switch to nursing homes helps landowners to justify a much better site value in their dealings with their banks and NAMA.

According to Pat Nolan, of Feasible, a consultant specialist in nursing development, site values for nursing homes outside Dublin range between €10,000 and €15,000 per bed site. He reports that a number of nursing home operators from Munster and the west of Ireland consider the recent fall in land prices and construction costs as presenting an opportunity for them to get into the Dublin and east coast markets.



Deadlines

At present a number of sites are for sale around the country with full planning permission for nursing homes.

As they have met the planning permission deadlines they could qualify for lucrative tax allowances if built within the next 17 months.

In the village of Clonegal, Co Carlow, a 4.5 acre site with planning permission for a nursing home with accommodation for 60 beds is for sale with a guide price of €350,000 to €400,000. Agents Dawson Real Estate Alliance says that the asking price has halved from the €750,000 figure that was sought two years ago.

In the village of Carrigalen, Co Leitrim, an elevated 4.5 acre site with FPP for a 52-bedroom nursing home as well as four retirement bungalows is for sale. Peter Donohoe & Son Real Estate Alliance is guiding €1.2m for the site and is open to serious offers.

In Ballinlough, Co Roscommon, a two-acre site with planning permission for a 45-bedroom nursing home with 54 bed spaces is for sale for around €250,000. Carthy & Associates Real Estate Alliance says the catchment area also creeps into counties Mayo and Galway.

Irish Independent

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