Just 25% of units for homeless delivered

JUST a fraction of the 1,200 housing units to be provided for homeless people in 2010 have been secured.

According to recent figures by mid-November just 296 units had been secured in the greater Dublin area, with the Irish Council of Social Housing claiming the shortfall was due to banks and developers “reneging” on a memorandum of understanding.

The target of 1,200 housing units was set as part of an attempt to meet the Government’s stated aim of ending long-term homelessness by the end of this year.

However, earlier last year that target had to be downgraded to 850, and that too will now not be met. The shortfall comes despite efforts to secure properties across a range of areas, from social lettings in the four Dublin local authority areas, to private rented accommodation, acquisitions and those provided by Approved Housing Bodies.

There have been shortfalls in virtually every area, however, and ICSH executive director Donal McManus said homeless people are still competing with other groups, like the elderly and students, for rented accommodation.

Kathleen McKillion of the ICSH said the timeline for delivering the housing stock was unrealistic, adding: “We are relying on the private market [and] they have not come forward the way that was envisaged.”

The problems affecting the housing pipeline range from developers with housing in NAMA or loans with Anglo Irish Bank, to other developers withholding properties because they may feel they would get a bigger return if NAMA takes them on, rather than in a long-term lease.

The banks have also been reluctant to provide funding to bring the housing stock on stream, despite signing a memorandum of understanding that they would do so. Mr McManus said: “We had asked the Minister [for Housing Michael Finneran] at the end of last year to make sure there would be leverage put on financial institutions to make sure there would be no impediments to have houses put out for leasing.”

At one point, the ICSH was so concerned about the slow rate of progress and the memorandum of understanding was signed by the Irish Banking Federation, the Department of Finance and other bodies.

“Obviously there has been a problem,” he said, adding it has been “extremely hard to get information” even as to the number of consents granted by banks and NAMA for housing stock to come on stream on long-term leases.

Some developers were still quoting prices from “four or five years ago”.

Estimates put the number of vacant properties in the Dublin area at 23,000.