TD queries OPW price for offices

A Labour TD last night called on the Minister of State with responsibility for the Office of Public Works, Mr Martin Cullen, …

A Labour TD last night called on the Minister of State with responsibility for the Office of Public Works, Mr Martin Cullen, to make a full statement on the sale of an office block to the OPW for a profit of more than £14 million.

The building in Ballsbridge, Lansdowne House, changed hands for u £9 million three years ago but was sold recently by a syndicate to the OPW for u £23.5 million.

Mr Tommy Broughan said: "I believe the taxpayers should be entitled to know who were the members of the syndicate who have now benefited from this hugely profitable property deal, especially as their profits have been significantly enhanced by the decision of this Government to halve the rate of capital gains tax." Mr Broughan said he accepted the purchase of office space by the State, but warned against the exploitation of taxpayers' money. "Even allowing for the significant jump in property prices, an increase of 160 per cent in the purchase price of an office block in just three years seems excessive," he said.

"When Farmleigh House first came on the market, the auctioneers spoke of a price in excess of £10 million. The State eventually paid u£24 million." "The purchase of these two properties may be an appropriate matter for the Comptroller and Auditor General to inquire into to ensure that the OPW has got good value for the taxpayers money spent."

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Mr Broughan suggested an inquiry by the Comptroller and Auditor General into the purchase of both properties.