Despite enforcement order, Cork property is still on short-term lets

Two months after Cork City Council began an enforcement action against a house advertised on Airbnb despite being renovated with €70,000 in grants which stipulated it had to be a long-term let, the property is still rented as a short-term let.

The owner of the property company managing the house has insisted he has received no notice of any enforcement action, but the council has reiterated that the action is being taken.

The house, located at 3 Grattan Hill Lower, was derelict until two years ago, when it was completely renovated, work in part financed by public grants designed to bring vacant homes into the long-term rental market.

That renovation was undertaken by Powell Property, which is owned by Micheál Powell, on behalf of one of the company’s clients.

In April, Mr Powell said it was only when The Echo approached him that he became aware that the property was advertised on Airbnb.

In social media posts in September 2024, filmed before the property was renovated, Mr Powell said his company had bought the property – which had been vacant for two years – on behalf of a client.

In the videos, Mr Powell said he was then in the process of availing of Cork City Council’s vacant property grant, adding: “The grant stipulates that you need to stay in the [long-term] rental market for 10 years”.

“If you break the 10-year agreement, there [are] clawbacks from the council. It has to be made available for rental for 10 years, so we’re providing a net housing gain into the market.”

Powell Property availed of a €50,000 vacant property grant and a €20,000 derelict property top-up grant, both of which were allocated dependent upon the property registering with the Residential Tenancies Board (RTB) and becoming a long-term rental property for a minimum of 10 years.

The property separately availed of a €22,000 Sustainable Energy Authority of Ireland (SEAI) grant to upgrade its energy rating.

However, the property has been advertised on short-term letting website Airbnb since at least October of last year, and three neighbours have separately told The Echo the property is an Airbnb short-term let.

Recently, a man staying in the property said he had rented it through Airbnb.

No planning permission for short-term letting has been sought on the property, even though under the Planning and Development Act 2000, this constitutes a material change of use.

In rent pressure zones such as Cork city, specific permission for such changes of use has been required since 2019.

The property is featured on at least two separate Airbnb listings, with photos edited to make the rooms appear different, and outside the front door is a lockbox fitted for key collection by guests.

Mr Powell said his company had leased the property in good faith on a 12-month contract and the tenant was in breach of the terms of that lease.

He said he was currently engaged in a case with the Residential Tenancies Board and that process could take “up to nine months”.

The Echo has attempted unsuccessfully to contact the tenant.

Mr Powell said he had received no notice of an enforcement action from Cork City Council, but a council spokesperson again confirmed there was “an open enforcement file in relation to this address”.