Quashed planning consents will add to cost of housing, says property investor

A large property investor has criticised An Bord Pleanála for conceding a High Court challenge against a €300 million apartment scheme in Dublin, saying the move will add to the cost of housing in the city.

Ardstone Capital’s 661-apartment project near Milltown is one of three in south Dublin whose planning consents will be quashed after links with former An Bord Pleanála deputy chairman Paul Hyde led the planning body to concede claims against the permission it granted.

With no end to the housing crisis in sight, such moves will lead to the loss of planning approval for more than 1,400 new homes.

“This decision will regrettably add considerable and unnecessary delay as well as added expense to the delivery of much-needed housing units in the city centre,” Ardstone said.

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Ardstone spent €65 million in 2019 to buy Jesuit order lands at Sandford Road near Milltown and received permission last December for a build-to-rent apartment complex on the 10-acre site.

Permission for a 255-unit project at Killiney backed by developer Pat Crean and his company Marlet will also be quashed as a result of the planning authority’s concessions. There was no Marlet comment.

Permission for a 493-unit scheme in Blackrock will also be quashed. The project was backed by Oakmount, controlled by restaurateurs Paddy McKillen Jr and Matt Ryan. “The position at the moment is that they are going to take legal advice,” said an Oakmount spokeswoman.

Amid disquiet in property circles about the implications of An Bord Pleanála’s legal concessions for housing delivery in the capital, it emerged that the planning body’s chairman Dave Walsh took annual leave from Tuesday with a return date on Thursday week.

“Please note that I am away from the office on leave until Thursday 20th October and I will have limited access to email during this time,” said an out-of-office reply from Mr Walsh’s email.

Replying to questions about Mr Walsh’s leave, An Bord Pleanála said it “does not hold any information about the personal affairs of personnel”.

His leave comes at a sensitive time. In addition to legal concessions made public on Monday, the planning body is facing a Cabinet-mandated overhaul of its structures.

Separately, the Director of Public Prosecutions has instigated a prosecution against Mr Hyde under the Planning and Development Act after a Garda investigation into allegations of impropriety. Mr Hyde has denied any wrongdoing.

An Bord Pleanála has said the board conceded the three legal actions “based on acceptance that in the particular circumstances of each case a reasonable apprehension of objective bias may arise”.

At issue were claims that the involvement of a board member in each case “raised questions of objective bias due to a familial connection between that board member and a person involved in the planning application process”.

Mr Hyde was chairman of the An Bord Pleanála division in charge of fast-track housing consents before his July resignation. When controversy erupted over his work, questions were raised about cases in which his brother Stefan Hyde, a fire-safety expert, had an involvement.

Ardstone, established by former executives with life assurer Friends First, said it was “deeply disappointed” at the decision but remained committed to developing the site.

“There is no question of any culpability extending to Ardstone regarding this decision. Ardstone has at all times adhered fully to the rigorous planning requirements attaching to the [strategic housing development] process,” it said.

“This proposal was also fully supported by Dublin City Council and subsequently received its planning permission after going through the appropriate statutory planning processes.”

There was no comment from An Bord Pleanála on the disquiet expressed by developers.