The stock market-listed homebuilder posted profits of €46m last year
THE boss of homebuilder Glenveagh Properties, Stephen Garvey, was paid almost €1 million last year after receiving a big bonus as the company swung into profit. It’s nearly double the amount he received in 2020.
The company’s annual report, published today, shows that Mr Garvey’s basic pay last year was unchanged at €450,000. However, he received a €445,000 bonus in 2021. He was not paid a bonus in 2020. His total pay last year was €988,000, including other benefits.
Glenveagh’s revenue soared 105pc to €477m last year, while it made a pre-tax profit of almost €46m, compared to a near €16m loss the year before.
The stock market-listed group completed 1,150 units last year, a 64pc increase on 2020.
The annual report shows that Glenveagh chief financial officer Michael Rice was paid a total of €690,000 last year, compared to €378,000 in 2020. He received a €311,000 bonus last year.
Chairman John Mulcahy was paid a total of €541,000 in 2021, which included a €222,000 bonus. Mr Mulcahy – a former Nama executive – was executive chairman, but is moving to a non-executive capacity.
“Within the context of Ireland’s housing crisis, we find our business at the vanguard, “ stated Mr Garvey in the annual report
“When fully scaled, we will deliver 10pc of the country’s housing needs every year,” he added. “The challenge we set for ourselves is to deliver this housing with sustainability and relentless innovation at the core.
“It is my hope that the Government moves quickly to ensure a planning framework and system that are fit for purpose and which support the delivery of the Government’s target of scaling the industry to deliver 34,000 homes a year.
“Issues such as high cost-price inflation are also on our radar.”
In an interview this week in the Irish Independent, Mr Garvey warned that the next generation of home hunters may have to resign themselves to a life of renting unless planning rules are overhauled.
Mr Garvey said that current density requirements mean Glenveagh and other developers typically have to complete schemes with half the units being houses and half being apartments.
“The demand for apartments is only from one customer – that’s institutions. There’s no private demand out there,” he said.
“Half of everything we produce now must be apartments. If we (the country as a whole) are producing 35,000 units a year, less than 17,500 will be own-door, single-family units.”
Mr Garvey said that accounting for about 5,000 one-off housing units built around the country every year by individuals, that leaves just 12,000 houses available for sale.