Skip to main content

Dublin Property - Not All It's Cracked Up To Be...

I see in the Sunday Independent Newspaper today that "MORE than 430 people who have seen their homes plummet in value as a result of a allegedly defective building materials plan to sue for damages in an unprecedented legal showdown with the construction industry.


Hundreds of people who bought homes in three new housing developments in north Dublin resorted to legal action after cracks and other problems allegedly began to appear in their properties.

The developers have blamed the problems on defective building materials supplied by a north Dublin quarry and are repairing the defects.

That has not stopped residents from signing up with two of the city's biggest law firms, in what promises to be a protracted legal battle that will put building standards centre stage.

Arthur Cox is representing around 230 clients in Drynam Hall in Kinsealy and The Coast in Baldoyle, Co Dublin. Both developments were built three years ago by Menolly Homes, one Dublin's biggest home builders.

Solicitors Lavelle Coleman has been instructed by more than 200 clients, most in Beaupark, in Clongriffin, built by Menolly and Kiloe Developments. It will also act for a small number of residents of houses in Castlecurragh, an estate in west Dublin, which were built with the same allegedly defective material.

The scale of litigation has spiralled since problems were first encountered by residents more than a year ago.

Menolly Homes blamed the flaws on excessive levels of pyrite in the building materials used in the foundations and floors. The mineral reacts with oxygen and water to cause walls and ceilings to crack."

Popular posts from this blog

Property Crash Homes For Sale...

Hundreds of repossessed homes in Ireland to be sold by auction... UK property consultancy Allsop to hold auction in April at Dublin's Shelbourne hotel: Flats in Ireland that could have fetched €150,000 in the Celtic Tiger years are to be put on the market for as little as €25,000 (£21,000) in the country's first ever mass auction of repossessed homes. And, in a sign of how wide the property crash is, the latest item to turn up in liquidation sales in Dublin is a job lot of 15 cranes, including a pair towering over Anglo Irish Bank's half-built headquarters in the city's docklands. "Tower cranes were among the most sought-after heavy plant and machinery 10 years ago," Ricky Wilson of Wilsons Auctions says. "You couldn't buy them quick enough. Now they are left idle for two or three years on sites." He has 15 cranes worth €500,000 going on sale on 26 March, with German, Dutch and Polish buyers expressing interest. But it is the auction ...

Ireland's Celtic Tiger Excesses...

'Bang twins' may never get to run a business again... POST-boom Ireland is awash with cautionary tales of Celtic Tiger excesses, as a rattle around the carcasses of fallen property developers and entrepreneurs will show. Few can compete with the so-called Bang twins for youth, glamour and tasteful extravagance. Simon and Christian Stokes, the 35-year-old identical twins behind Bang Cafe and exclusive private members club, Residence, saw their entire business go bust with debts of €9m, €3m of which is owed to the tax man. The debt may be in the ha'penny place compared with the eye-watering billions owed by some of their former customers. But their fall has been arguably steeper and more damning than some of the country's richest tycoons. Last week, further humiliation was heaped on them with revelations that even as their businesses were going under, the twins spent €146,000 of company money in 18 months on designer shopping sprees, five star holidays and sumptu...

Property Ireland - Irish Land Values Go Up Like A Rocket & Fall Like A Stone...

Land values go up like a rocket and fall like a stone... SITE EVALUATION: Why would a developer bid €225,000 an acre in 1999 and €2.8m an acre in 2007? Bill Nowlan explains WHY HAS THE value of development land fallen so precipitously, by over 50 per cent in the past 12 months, when residential and other property values have only fallen by 25 per cent or 30 per cent? There is an old property cliché which says that "land values go up like a rocket and fall like a stone" and this seems to have been bourne out in Ireland over recent years. Why does this happen? To answer this question requires an insight into the way developers prepare their bids for development land and I set out below a glimpse into that process. Let me start by looking at how a developer in normal times estimates his bid for a plot of land with planning permission, which in estate agents' parlance is ready-to-go. The key starting point in a developers equations is the expected sale price of the finished b...