€ 41m barrack’s sale can go ahead

THE €41-million sale of the former 90-acre military barracks at Ballincollig can go ahead.

Mr Justice Paul Gilligan yesterday, in the High Court, ruled a settlement agreement between the Minister for Defence, Ballincollig Holdings Ltd., which claimed to hold the interest in the leases, and O’Flynn Construction Co Ltd.

O’Flynn Construction managing director, Michael O’Flynn, said he was delighted the matter had been resolved and hoped to start work on the site before the end of the year.

The sale of the property had been held up because Ballincollig Holdings, South Mall, Cork, had claimed the property should revert to them.

Mr George Brady, S.C., counsel for the Minister; Mr James Dwyer, S.C., counsel for O’Flynn Construction, and Mr Maruice Gaffney, S.C., counsel for Ballincollig Holdings, told Judge Gilligan the dispute had been settled in a manner accepting the Minister was not bound to surrender the property to Ballincollig Holdings.

Mr Brady said the Minister was not seeking any order as to costs.

The funds raised from the disposal of military properties are being invested in the redevelopment of other military installations and new equipment.

The delay in disposing of the former Murphy Barracks would, according to the Department of Defence, have had significant financial implications as the estimates for the Department for next year had already been framed on the basis that the 41 million would be realised prior to the Government finalising the Budget for 2004.

The court had earlier heard that the directors of Ballincollig Holdings claimed to hold the interest in the leases and was alleging that once the lands ceased to be used as a military barracks they should revert to them.

O’Flynn Construction, with registered offices at Melbourne House, Model Farm Road, Cork, had refused to complete the purchase until the dispute between Ballincollig Holdings and the Minister had been resolved. They plan to build a new town centre on the site. “I expect planning permission to issue within the next few weeks,” Michael O’Flynn said.