Apartment plan for Dalkey hotel site will not go ahead

The owner of the Dalkey Island Hotel says he is not going ahead with plans to build 18 apartments on the site, despite An Bord Pleanala's decision to grant permission for the scheme on one of the highest-profile sites on the south Dublin coastline.

The owner, Mr Jim Delaney, has put the decision on hold because the board ruled out a new restaurant on an adjoining site as part of the conditions attached to the permission. He said yesterday he was "very disappointed" that the board would not allow him to transfer his restaurant business to a new single-storey building to seat 65 diners.

Instead of going ahead with the apartments, he now plans to turn the hotel into a luxury bed and breakfast business and to close down the bar and restaurant. He will also close off public access to all three car-parks at the hotel, which can accommodate 150 cars. He said jobs will be lost as he will need only about five of the 20 staff to run the new business. Two of his daughters would also be out of employment as a result of the decision, he said.

The apartment scheme was to have included the first £1 million penthouses in Dublin.

The Coliemore Area Residents' Association and the Dalkey Community Council had appealed against a decision by the Dun Laoghaire-Rathdown County Council to grant permission for both the apartments and the restaurant.

Mr Delaney said the implication of the board's decision was that he should hand over his carpark for public use. "I have no intention of surrendering ownership of what must be one of the most valuable pieces of land in Ireland. Not only that, they also want me to make a financial contribution to Dun Laoghaire-Rathdown County Council. Can you figure that out?"

The hotel car-park has been heavily used over the years by visitors to Coliemore Harbour and nearby Dalkey Island. The hotel restaurant is frequently packed at lunchtime on Saturdays and Sundays, particularly during the summer months. "It is the last restaurant in Dalkey where you can dine overlooking the sea," Mr Delaney said.

The site is undoubtedly one of the most stunning pieces of property along the south Dublin coast. The 18 apartments approved were due to sit high above the sea - a vantage point looking directly out to Dalkey Island all the way round to Howth.

Under the plan approved by An Bord Pleanala, the apartment building was to have covered the same area as the hotel. It was also to have been kept to the same height so as not to interfere with the sea views of the houses across from the hotel. Four of the residential units approved are exceptionally large penthouses which were expected to set a new record for Dublin apartment prices. At least three were likely to make in the region of £1 million.

The largest penthouse was designed to be one of the most luxurious in Dublin, with viewing galleries over the sea, a double-height dining hall and a high specification fit-out including a jacuzzi. The layout provided for a floor area of 2,400 square feet - almost twice the size of a typical Dublin semi.

The Dalkey Island Hotel is located on one of the most expensive roads in Dublin, where many of the houses have private jetties. Some of the large 19th century houses on Coliemore Road are valued at over £2 million because, unlike Vico Road, the DART railway line does not run between it and the sea.