NAMA isn’t saying, but according to RTE, the owner of the 63-house Glendale Estate in Tullow in Carlow was Glendale Estates Limited. And according to Iris Oifigiuil, the receiver, Jim Hamilton of BDO Ireland, was appointed to Glendale Estates Limited was at the behest of AIB in February 2011. AIB is one of the five NAMA participating institutions and the property in Tullow is a development property if ever there was one, which would place it in NAMA’s remit. Not only that, but the owners of Glendale include Anton Hunt and Paul Collins, and NAMA recently had receivers appointed to companies owned by these individuals eg Camion Developments Limited, Neidin Developments Limited.
On the other hand, the property is not apparently listed in the latest NAMA enforcement list, but as we have seen in the past, that list is riddled with errors.
The 63-house estate would have been worth €12.6m-plus at the peak if each of the 63 houses were fully completed and sold for €200,000 apiece. As it happens, the homes need kitchens, but will apparently still fetch €100,000 today when completed. There is also planning permission for an additional 58 homes on the 14-acre property.
What did the property sell for yesterday? €640,000 in an auction by DNG at the Shelbourne hotel in Dublin – the sales listing is still available from the DNG website. The guide price was €150,000 but six bidders are said to have driven the price to €640,000, and about 20 punters/gawkers are said to have attended the single Lot auction.
Who bought the property? This is where it becomes more interesting if this was indeed a NAMA sale. The buyer is reported to be “in trust on behalf of an anonymous buyer”. In other words, it could be anyone including a “defaulting debtor” as proscribed by the NAMA Act.
NAMA was asked if this was one of their sales, and more generally, what controls it has in place to prevent property being bought at auction by defaulting developers.
There has been no response from NAMA.
NWL,
63 units sold at an average price of €10,000. That transaction might have a material impact on the average house prices for all of Ireland this month. Even assuming a €100,000 fair-value price, Nama’s €263,000 house price target in 2020 will not be reached in County Carlow.
dennis
@Dennis, I would seriously doubt that the property was bought with a mortgage! So Ireland’s main price index from the CSO won’t capture it.
@NWL
I have just listened to a representative from DNG on RTE , explaining how people might be taking a ‘punt’ and ‘holding on’ to these for a few years.
This sale will do nothing for the economy, unless the new owner is completed to complete these houses.
Or are the owners to get away with the same degree of neglect as the old’ owners’ or of NAMA, receivers and banks throughout the country.
In order to protect the state and the public there should be a requirement that virtually all semi-complete houses be completed within a three year time frame.
However Route1 seems to the Irish way right now.
A policy that displays the sheer stupidity of the ‘running’ the country.
@Joseph, the new owner might get a shock with the new property tax! Okay, these houses don’t have kitchens and may not be connected for utilities but a properly focussed property tax might “encourage” the completion and rental/sale.
There is a path that goes from doing property deals in secret, to having buildings all over Ireland, guarded by men with dogs while backlogged courts struggle to even find paperwork that says who owns what.
But you have thought of this, right?
Doberman, Alsatian training could be a biz op. for Ireland short term.
Oh of course, there is a registry coming…
Fetch €100K today when completed?
When the bank sold them for €10k a piece?
When the bank was willing to sell them for €2500 a piece?