Four council “rapid-build” housing projects took longer than ordinary construction projects and costs over ran, in some cases by more than 50 per cent, according to an auditor’s report.
The council housing manager, Mick Mulhern, told Dublin city councillors at their monthly meeting on Monday that he will bring a report to the housing committee on the challenges faced on the sites in Dublin 8, Coolock, and Chapelizod.
At one site, on Bonham Street in Dublin 8, the 57 homes took almost four years to build and according to an auditor’s report, and cost 51 percent more than originally agreed. Spending on consultants for the project came in at 93 percent above the original price, the auditor found.
There were similar issues with three other “rapid-build” housing projects using modular construction methods: at Chamber Street/Cork Street in Dublin 8, on Bunratty Road in Coolock, and at Springvale in Chapelizod.
The final account settlement agreement for the 263 homes across the four projects was planned to be €88.5 million excluding VAT, the auditor’s report said. In the end, it was €127.5 million – an increase of 44 percent, an overrun of €39 million.
In October 2022, councillors had pushed council managers for answers as to what was behind delays with the rapid-build projects, as local people were waiting anxiously for news on the homes.
The auditor’s report said the architect’s fees were revised on multiple occasions for three of the projects. “The reasons for delays were complex and the subject of a lengthy conciliation dispute resolution process,” says the report.
“DCC consequently had a requirement to extend consultancy appointments and therefore approve additional fees due to the extraordinary and unforeseen circumstances pertaining to these four projects,” it says.
At the full council meeting on Monday, councillors again asked what exactly caused the delays and overruns. “How did it happen, why did it happen, who is accountable for it and what can we do to prevent it happening again?” asked Sinn Féin Councillor Daithí Doolan.
“The costs are outrageous,” said independent Councillor John Lyons.“The scant detail provided just isn’t appropriate.”
He pointed in particular to the overrun for consultants’ fees. “This is public money,” he said.
The council housing manager, Mick Mulhern, said: “Ultimately this was a very novel and innovative approach by the council to progress with four modern methods of construction buildings.”
“There has been sizeable learning for the council and for the contractor,” he said.
The council is putting together a report on the challenges faced and lessons learned, which it will bring to the housing committee soon, said Mulhern. It will do things “slightly differently going forward”, he said.
167 new social homes for Grangegorman
Dublin City Council started its internal planning permission process to build 167 new social homes together with a creche and a community or cultural space at its Dublin Fire Brigade depot site on Stanley Street in Grangegorman.
The proposed development is for 12 duplex homes and 155 apartments in a pale brick complex of four to six storeys in height.
The council proposes to retain the facades of the original building in some parts, although it is not a protected structure.
The plan is for 100 percent social housing, with 92 one-bedroom homes, 57 two-bedroom homes and 18 three-bedrooms.
The development includes communal open space, as well as 371 bicycle parking spaces and 19 car parking spaces.
The proposal is part of a move by Dublin City Council to centralise its council depot services in its new super depot in Ballymun to free up those sites for housing.
“I absolutely welcome the project and welcome the design, overall it is really good news,” said independent Councillor Cieran Perry.
But he noted that the project is planned as a public-private partnership, and said that these don’t offer good value for money and the council should develop the site itself, as funds are available to do so.
Perry also said that mixed-income developments are best practice. “That is the direction we should be going on,” he said. “The council pays lip service to best practice but then builds social housing only.”
He would rather see social housing mixed with affordable rental, he said. “While I welcome all public housing, they should be mixed schemes,” said Perry.
Independent Councillor Christy Burke also welcomed the development. “It’s great to hear good news,” he said. “It’s long overdue.”