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Friday 24 November 2017

IDA forking out €2.6m a year on vacant commercial premises

Liam Collins

Liam Collins

THE IDA is spending €2.6m a year on vacant premises, the agency has confirmed.

According to documents released to the Sunday Independent, these include eight units at the Airways Industrial Estate in Santry, Dublin, one of which is costing €340,000 a year.

Among the beneficiaries of rent from empty premises is the well-known developer Ken Rohan, whose company Minas Ltd is paid €232,500 a year for a vacant premises at Poppintree, Finglas, Dublin 11.

Minas agreed to lease the property to the IDA for 35 years in 1993 -- ensuring that Mr Rohan's company will earn another €1.5m before the lease expires.

Another prominent businessmen to benefit from renting premises to the IDA is Waterford's John Ronan, whose company Johnstown Properties is renting out a number of premises in Waterford that are currently vacant.

Another empty premises at Greenhills Road, Tallaght, Dublin 24, is rented from Hibernia Life for €390,000 a year.

Of the 71 commercial leases which the IDA holds, a staggering 36 of them are now idle and unused. The agency said that it paid rent of €7.1m for 71 buildings and took in €4.5m for the 40 that were occupied -- leaving it with a shortfall of €2.6m for empty buildings.

According to the documents released under the Freedom of Information Act, the IDA has vacant premises in Dublin, Wicklow, Wexford, Galway, Cork, Donegal and Westmeath.

Among the occupied properties leased by the IDA is Roselawn House in Limerick, which is earning Limerick developer Ger Clohessy €33,000 a year from the IDA.

The documents also reveal that the state agency Forfas is renting Wilton Park House in Dublin 2 from the IDA for over €2.1m a year.

The documents released under Freedom of Information also reveal that the Government pays a yearly income of €315,705 for the 17th floor offices of The Consulate General of Ireland at the landmark 345 Park Avenue building in Manhattan, New York.

Sunday Independent

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