With few tax shelters still available for investors, Sherry FitzGerald's Galway office expect a high level of interest from investors in a new student village which is under construction beside the Galway Mayo Institute of Technology in Galway city.

The Merlin Meadows village, beside the Corrib Great Southern Hotel, will have a 167 residential units which will be used as student accommodation during the academic year and for holiday lets in the summer months. The first 32 units are being released for sale at this stage.

Ailbhne O'Malley of Sherry FitzGerald says that the Section 50 development will operate as a fully managed, hands-off investment, offering 85 per cent tax relief against all rental income. Two types of four-bedroom space maisonettes with between 860 and 907 sq ft will be priced from £199,000 to £206,000. A five-bed space unit with 985 sq ft will cost £240,000, while a seven-bed space detached unit with 1,200 sq ft will available at £295,000.