Developers remain kings of their castles
Despite the billions owed, Nama is allowing the rich to live in luxury, writes Ronald Quinlan
Published 31/10/2010 | 05:00
An IRISH developer's home is his castle, or should that be a developer's castle is his home? The state agency set up to deal with the good and bad development loans of Ireland's broken banks is happy to leave its developer clients to reside in the luxury to which they have become accustomed off the back of the boom.
For regardless of the millions, or even the billions, that the nation's biggest and most-indebted developers owe to Nama, the newly-established asset management agency has said they can stay in their homes, no matter how palatial, so long as they co-operate and maintain them on a reduced income.
Even where personal guarantees have been given, Nama's bosses have decreed that these will not be called upon while the developers meet agreed targets for the 'work out' of their loans over the agency's expected seven- to 10-year lifespan.