Friday 20 September 2019

NAMA exceeds target to deliver 2,000 social housing units, agency reports

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Donal O'Donovan

Donal O'Donovan

NAMA says it has exceeded its target to deliver 2,000 social housing units.

Up to end-June 2018, NAMA had identified 6,984 of its residential units as potentially suitable for social housing and local authorities took 2,717, the agency said.

The agency says its second quarter profit was €223m. Cash of €1.5bn generated in the first half of this year means total cash raised since the agency was established stands at €42bn. The vast bulk of that has been used to repay Nama’s debt.

Investec chief economist Philip O’Sullivan said the numbers mean Nama will eventual return more cash to the exchequer than its own forecasts suggest.

“The agency's guidance of lifetime earnings of €3.5bn is too low - we see NAMA returning at least €4.5bn to the Exchequer,” he said.

Meanwhile, Nama is increasingly under pressure to play a major role in the housing market. The agency said it has so far delivered either directly or indirectly in excess of 10,000 residential units - between the start of 2014 and August 2018.

Nama directly funded 7, 881 units. Another 11,000 units are either under construction or have secured planning permission. Sites with capacity for a further 8,000 units are either in planning or are expected to be within twelve months.

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