Interest in housing scheme trebles since rural addition

DEBATE Cllrs seek changes to Croí Cónaithe

Local interest in a housing scheme to convert vacant properties for residential use has trebled since it was extended to include rural areas but councillors are recommending a number of further amendments to the programme.

Cavan County Council has already received 24 applications under Government's Croí Cónaithe since it was extended to rural areas, according to figures shared at the December meeting of the local authority.

The extension of the scheme was announced on November 15, and up to that point the council had only received eight applications.

Of the 24 new applications, inspections have been carried out on seven, six more were 'approved in principle', while 'further information' has been sought in relation to five others.

“We have not refused any,” explained Vacant Homes Officer, Sinead Gibbs, who along with Senior Engineer John Wilson, updated elected members on the latest developments.

The scheme provides a grant of up to €30,000 for refurbishment, with a further top-up of €20,000 available if previously derelict. Properties must have been vacant for two years or more and built before 1993; and proof of both vacancy and ownership will be required to qualify.

Clawback conditions apply in cases where the applicant ceases to reside in the dwelling as a principal private residence within five years of the date of subsidy. If they choose to sell within 10 years, they must reimburse the State an element of subsidy - 100% up to five years; 75% between five and 10 years; or nothing after 10 years.

Ms Gibbs outlined that a person working on a house can still claim under the scheme for works not yet carried out.

She clarified that a family can sell a property to another family member, and the purchaser can present the approval as part of their mortgage application process to a bank.

Cathaoirleach John Paul Feeley said he could not think of a “more appropriate” area to benefit from the scheme than west Cavan, which he’d earlier stated had “suffered” greatly from population decline.

Independent Shane P O’Reilly described the maximum €50,000 grant as a “quare wedge” of money.

But he warned that the sum “doesn’t go very far” in the current climate, and recommended “doubling” the amount. That motion was seconded by Brendan Fay (Ind).

Despite the extension of the scheme to rural areas, some councillors still expressed disquiet and lobbied the executive to write to the Minister for Housing, Darragh O’Brien, on the matter.

“I’ve one problem with it,” said Fine Gael’s Peter McVitty of the scheme. He explained that the requirement for people to give up their principal residence to live in the new property will “put people off”.

His proposal to amend was seconded by party colleague T.P. O’Reilly who noted that farmers with holdings on land were “not going to release them into the market”.

He suggested that the scheme be altered so that the owner of the property benefit from the grant but then agree to “rent” the property back to the community.

Cllr O'Reilly further suggested that the property should not have to be rented back through the council but instead made available to “everyone”.

There appeared a level of cross-party consensus on this, with Fianna Fáil’s Clifford Kelly, Aiden Fitzpatrick and Sinn Féin’s Paddy McDonald also backing the proposed change.

“Unless they amend, it's going to be hard to get uptake,” chimed Cllr T.P. O’Reilly again.

“Sometimes it can be as hard to pass from one family to another family member as a sell.”