Over 300 ‘below market rate’ apartments planned for Cork city

HORGAN’S Quay is set for over 300 new apartments, which will be available to rent for affordable prices.

The first large-scale residential development is set to begin at the site, as the Land Development Agency (LDA) takes over from Clarendon Properties/BAM Ireland.

A spokesperson for the LDA confirmed to The Echo that it is finalising commercial terms with HQ Developments for the delivery of 302 apartments at Horgan’s Quay.

They said: “The transaction is part of the LDA’s Project Tosaigh initiative, and the majority of the homes will be made available under the cost rental scheme, whereby eligible renters are provided with security of tenure at rents significantly below market rates.”

Under Project Tosaigh, the LDA is on course to deliver 5,000 homes — in addition to the more than 8,000 homes the LDA is currently in the process of delivering on State-owned or acquired land — by 2026.

A spokesperson for BAM told The Echo: “We are pleased to be finalising commercial terms with the LDA and move ahead with our exciting plans for Horgan’s Quay.

“The inclusion of a number of cost-rental homes in the very heart of Cork city will give a huge boost to local renters.”

In July 2016, Clarendon Properties — in partnership with BAM Ireland — secured the development rights to the waterfront site, owned by State transport company CIE, which had been zoned for a mix of office, residential, and leisure developments.

The terms of the contract would see both Clarendon Properties and BAM Ireland obtain a 300-year ground lease from CIE, in return for the higher of a set annual rent or 10% of the market rents, but the development of residential properties onsite has been stalled for years.

Project Tosaigh is an LDA initiative whereby the agency steps in to kickstart stalled or unviable housing projects and then makes the new homes available to renters — on a cost-rental basis — or to purchasers at an affordable cost.

These homes, which will be at least 25% below regular market rents in an area, can be purchased by eligible candidates under local authority shared equity schemes.

The Land Development Agency has launched a number of affordable-purchase Project Tosaigh housing developments, including the phased launch of 92 homes in Clonmore, Mallow.

It is also involved in the development of 266 homes at the former St Kevin’s Hospital site in Shanakiel, Cork.