Tax breaks to fuel docklands transformation

CORK’S sprawling docklands area is on the fast track to a multi-billion euro transformation after it was cleared for vital tax breaks by Europe yesterday.

The 166-hectare (410-acre) site on both sides of the river Lee was designated an area of urban regeneration under Ireland’s Regional Aid Map 2007-2013 which was approved by the European Commission.

The crucial designation clears the way for the use of tax breaks and a range of other financial incentives until the end of 2013 to encourage private companies to invest in the area.

The Cork Docklands Development Strategy, launched by the city council in 2001, set out a vision for the development of a new urban quarter in the area. It includes thousands of square feet of new offices, up to 6,000 high-quality, high-density new homes, new parks, hotels, plazas and marinas.

Major property developers, including McCarthy Developments and Howard Holdings, who developed the €500 million City Quarter on Lapps Quay at the gateway to the docklands, have assembled land banks in the area.

Multimillion euro apartment plans for Water Street are awaiting the outcome of a second Bord Pleanála oral hearing.

Manor Park Homes have a multi-million euro planning application for Horgan’s Quay in the pipeline.

But it is understood many others were awaiting the outcome of yesterday’s decision.

A spokesman for the council’s docklands directorate, which is responsible for driving the regeneration forward, said the decision was very welcome.

“This is something we have been looking for for some time,” he said.

Enterprise Minister Micheál Martin also welcomed the designation.

“The Cork docklands area represents one of the last major redevelopment opportunities in the city and the area has the potential to become a model for sustainable urban living,” he said.

The city is hosting an international Expo in 2010 in its docklands region to highlight urban living.

In addition, Co Cork was designated for regional aid for small, medium and large firms for 2007-2008 under the aid map.

However, Dublin and the Mid-East sub-region — Meath, Wicklow and Kildare — will no longer be entitled to regional aid after 2006.

All of the Border Midlands and West region have been classified as an “economic development region” and will continue to qualify for regional aid until 2013.

The South East sub-region — Wexford, Waterford, Kilkenny, Carlow and Tipperary South — also qualified for regional aid.

The Mid West sub-region — Clare, Limerick and North Tipperary — and Kerry will be entitled to regional aid only for small and medium-sized firms throughout 2007-2013 and for large firms for 2007-2008.