Housebuilder Glenveagh has spent €120m to acquire four more sites with the potential to deliver over 2,780 new homes in Dublin’s Docklands, Cork’s Docklands and the greater Dublin area.
This will bring to €404m the amount it has deployed on land acquisitions and takes its land bank to a scale with potential to deliver 10,120 homes.
CEO Justin Bickle announced in Dublin yesterday at its first AGM since its IPO last October that construction has commenced on 12 sites for its homes division which supplies houses and apartments on a per-unit basis to first-timers and other home-buyers.
This division is currently building 700 units and is expected to reach 800 by the end of the year.
Mr Bickle said that sales activity has been strong, with 234 units signed or reserved since 1 January. It is currently selling from six sites which will rise to eight sites during 2018.
One of the sites under way, at Herbert Hill facing Dundrum Town Centre, will provide 90 apartments.
However, the firm is considering approaches from institutional investors about selling those in one lot.
Chairman John Mulcahy said that Glenveagh is delivering supply for both the rental and sales market and this twin prong approach helps to alleviate the overall housing shortage.
The four recently acquired sites include a six-acre site at Castleforbes in Dublin’s North Docklands which cost about €60m.
It has the potential to deliver more than 650 units, subject to planning permission.
It is adjacent to the East Road site which the group acquired last January and provides Glenveagh’s Living division with potential to deliver about 1,100 apartments.
At this stage the other three sites have been ear marked for its homes division. They include two sites in the Greater Dublin Area (GDA) one of which is a 40-acre zoned residential site with potential for 400 starter homes located near transport nodes. Glenveagh has agreed to pay more than €20m for it when the deal is completed.
The second GDA site cost more than €9m. and has potential for up to 700 mainly starter homes subject to planning.
It also bought a 11.4-acre site in Cork’s Docklands for more than €15m.
It has the potential for up to 1,000 residential units.