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Price issue over housing scheme

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THE development of an affordable housing scheme at Cluain Airne has been dogged by controversy for months and it was back on the agenda at Tuesday’s town council meeting.

Sinn Féin Councillor Cathy McCafferty put forward a motion asking for the cost price of constructing the houses and the selling price per unit of both the affordable and step-down houses included in the development.
She received a written reply from the council’s housing section but there were few details available. “The council is currently awaiting the nomination of a completion contractor from the guarantor. It is expected that the contract duration will be approximately 16 weeks. The construction cost per unit will be determined on completion of the project.
“The selling price of the affordable units, which will be determined closer to completion date, will have regard to market values in the area. It is not proposed that the step-down units will be available for sale.”
Explaining further, town manager Bernadette Kinsella said that after the termination of the original contract, the bond came into play. Under the terms of the bond, the guarantor is to nominate a contractor to the council. She said at the moment tenders are being assessed and a contractor is expected to be named in the next few weeks.
Ms Kinsella said she understood it would take 16 weeks from then for the development to be completed. She said no decision on completing subsequent phases of development will be taken until the first one is finished.
Regarding prices, she said cost per unit wouldn’t be available until after work is finished, while she said that the final selling price would also be determined at a later stage.
Mayor of Shannon, Tony Mulcahy, said it was important people realise that none of the houses are to be sold to other local authorities, as has been rumoured.
Questioning the town manager, Gerry Flynn asked if there was any indication when a completion contractor would be appointed.
Responding, Ms Kinsella said, “The bondsman arranges tender documents that were sent to a number of contractors. They have been returned and following assessment, one of these will be recommended.”
She said she hoped a contractor would be appointed in the next few weeks.
Councillor Tony McMahon said lessons need to be learnt. “It’s disappointing that it has taken so long; in future we need to make sure it doesn’t happen again.”
Independent Councillor Patricia McCarthy said she was “extremely disappointed that it has developed in the way that it has”.
She said that the cost of maintaining the site during the delay shouldn’t be added onto the bill being presented to the council.
Ms Kinsella concluded by saying that the development had been “particularly challenging” and that it hadn’t been helped by the economic circumstances. She said any additional costs would come from the bond, not from the council coffers.

 

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