Waterford Wedgwood sells 22 acres surrounding crystal plant for €33m
The lands were rezoned by Waterford City Council in mid-April, increasing the value of the plot around the company’s sports and social club. The company previously valued them at €0.6m.
Newry-based private developer, Gerard O’Hare has agreed to pay €32.9m for the site, which was formerly zoned for open space and community purposes but is now classed for commercial development.
Last night, Mr O’Hare said he hoped to create 1,000 new jobs on the site.
He said he was conscious of planned job losses at Waterford Crystal and was anxious that any development would be with the backing of workers and the local community.
“The site is zoned for 110,000 sq ft of retail warehousing. We would hope to enter into negotiations with residents of the area and will be proposing a mixed development of retail, hotel and leisure facilities,” he said.
But some staff at the plant, who have paid sports and social club contributions for up to 20 years, have already begun legal action, claiming they are entitled to a share of the profit from the land sale.
They could yet seek a High Court injunction which could delay the sale.
Mr O’Hare has been involved in a number of major centres around the country, including the Fairgreen Shopping Centre in Carlow and the Quays Shopping Centre in Newry.
The sale is subject to a number of conditions, but the company refused to comment on these last night.
“The property is under-utilised land surrounding the Waterford Crystal Sports and Social Centre,” a company spokesman said. “It is intended that the proceeds of the sale will be used for general corporate purposes particularly at Waterford Crystal.”
Waterford Wedgwood recently announced a plan to invest approximately €100m on restructuring its Irish and international operations. The plan aims to produce savings of €90m each year and will be funded by a proposed €100m rights issue.
The property had never been used for operating purposes in the business and there are no existing profits attributable to the land, the company said.
Workers, including those pursuing a legal claim to profits from the sale, were part of a larger group that unanimously supported the rezoning of the land on the strict proviso any funds raised be used to secure the future of jobs at the plant.
