The developer of a holiday home scheme in Kenmare, Co Kerry has been asked to transfer eight luxury houses to Kerry County Council for social and affordable housing after a Bord Pleanála ruling. The exact transfer arrangements and the price the council will pay for the units will now have to be agreed, according to council officials yesterday.
The houses were being sold through Kenmare auctioneers Sherry FitzGerald Daly auctioneer with an average price in excess of €340,000 including VAT. A significant number have been sold. They are part of a tax-driven holiday home scheme operated by a management company on a lease-back basis for 10 years.
The developer has eight weeks to comply with the board's order. The board's decision after a dispute arose with the county council over compliance with part V of the planning and development Act 2000, which governs social housing provisions.
Developer Eamon McCarthy of Ryan Walsh Associates of Dún Laoghaire argued strongly that a holiday home scheme was not suitable for social and affordable housing and offered to pay financial compensation instead and asked for the matter to be referred to the board. In 2005, the council granted permission for 42 semi-detached and terraced holiday homes and serviced buildings at Dromnevane, 1km from Kenmare town centre.
One of the conditions was that before the development got under way, the developer would enter into an agreement with the county council in relation to the provision of social and affordable units. The details were not finalised before the scheme began.
The developer and his agents argued that the development, a section 268 holiday scheme, was unsuitable for social housing and proposed instead financial compensation or land. The holiday homes were of very high quality and for transient occupation.
An Bord Pleanála inspector Robert Ryan noted the area in question was zoned residential and was within the urban boundary. The development had a standard residential not a clustered holiday home appearance and there were existing housing schemes nearby.
It was the policy of Kerry County Council to integrate holiday home development and not to have "ghost towns" outside towns and villages, he noted, recommending the council's request for eight units be acceded to instead of a cash payment.