Government failing its tenants

I AM a tenant of the Government and I lease a property in Killybegs, Donegal, from the Department of Agriculture, Fisheries and Food. Being a tenant of the State I get special treatment — eg no right to renew when lease expires, a rent-up only clause, I can be removed from property with six months’ notice and no compensation, and the property has very restricted uses. I have just had a 7.5% increase in rent, although rents in Killybegs have fallen by more than 40%.

Dealing with civil servants, it has taken me five years to get a letter of consent to go for change of use (required for the planning application).

We have seven years remaining on our lease. Because of the collapse in fishing activity in Killybegs, we can no longer make our property pay. We want to diversify to open a sea food deli in these premises. With no right to renew the lease, we are unable to raise bank finance to invest in our property. The department is not willing to consider allowing us to extend our lease. We tried to surrender the lease and were told the department may follow us for compensation for breach of contract. We still owe €140k on this property — all of this money was spent on a major refit of a derelict transit shed. Now it has the benefit of €300k of renovations, all paid for by the tenants. If this is how the state treats its tenants, what chance have tenants in the private sector got? I would like to highlight this twisted economic logic. The State should show leadership in dealing with its tenants.