Homes classified as “affordable” and provided through the new Land Development Agency (LDA) would cost some €320,000 in Dublin, Cork and Galway under current market prices, Minister for Housing Eoghan Murphy has said.
The development of the Central Mental Hospital in Dundrum will be one of the first projects to be undertaken by the new agency, which seeks to make State lands available for house building. It is envisaged that more than 1,500 homes will be built on the Dundrum site, with the first becoming available in 2020.
As well as Dundrum, sites in Balbriggan, Skerries and at the old Meath Hospital make up the initial sites to be used in the capital. Devoy Barracks in Naas, St Kevin’s Hospital in Cork, Columb Barracks in Mullingar and a site on the Dyke Road in Galway are also in the initial list, which will allow for the construction of 3,000 homes.
Ministers are expected to come forward with more potential sites in the coming weeks.
Some 30 areas in Dublin and 10 in Cork have also been identified as special regeneration areas which will see the agency build land banks for future residential developments.
The aim of the new agency is to provide 150,000 new homes over 20 years. Any developments built on State lands must have 30 per cent of affordable homes, in addition to the existing 10 per cent already needed for social housing. The target is to eventually have half of all such developments allocated for social and affordable homes.