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€2bn plan to build 3,000 homes at site

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This landbank at Cherrywood in Dublin is one of the biggest development land sales in years

This landbank at Cherrywood in Dublin is one of the biggest development land sales in years

This landbank at Cherrywood in Dublin is one of the biggest development land sales in years

Thousands of homes will be built on a prime south Dublin development site in a €2bn plan.

The development of the site at Cherrywood has been described as being of strategic importance to the Irish economy in terms of job creation and addressing the rapidly declining supply of housing and office space in the city.

Some 3,000 homes will be built on the 400-acre site, along with business and retail outlets.

The two winning bidders for the land are Hines, a family-run €23bn developer, and King Street Capital, which is one of the world's biggest hedge funds. They are acquiring the site for more than €270m from Nama, Danske Bank and Lloyds.

The site in south Dublin - which is bigger than the size of London's Hyde Park - went on sale for €220m last July.

The lands were billed as "the most prominent underdeveloped land bank to ever to come to market in this country".

It is believed that the building of 3,000 houses would be a priority for Hines.

"They see the need for large-scale home development in Dublin and they have finance in place for that.

"There's a town centre plan out there, and all that goes with that in business, retail and residential development," according to sources familiar with the deal.

"In terms of Ireland, they would be fully committed to a long term presence here," the source said.

"They have that development finance in situ and ready to go. Hines will bring on local development partners and home builders, but they will absolutely lead and manage the thing."

Irish Independent