One of the few remaining opportunities to develop a substantial office building in a tax-designated area will arise shortly as part of the massive urban renewal programme in Ballymun, Dublin. The 145,000 sq ft office block will be the centrepiece of the new Main Street and will carry capital allowances.

Many of Dublin's leading property developers are expected to compete for the contract. Dublin Corporation and the Eastern Regional Health Authority will occupy 100,000 sq ft of the new space and after renting it for 14 years will have the option of buying it for £1. The developer will be able to claim 100 per cent capital allowances on construction costs but will have to bid for the contract on the basis of the rent to be charged for the 14 years. Emphasis will be placed on the quality of the architectural design.

Ciaran Murray, managing director of Ballymun Regeneration, said that because the site will be the focal point for the town, it wants "a beautiful building that could symbolise our town".

The one km-long Main Street will have an extensive mixture of buildings, some of them houses for a projected population of 30,000. There will also be a new theatre, leisure centre and a £1 billion tax-driven business and technology park, to be developed by Green Property Co.

A consortium led by builder John McCabe and Donal O'Mahony, of O'Mahony's builders providers, is shortly to be awarded the tender to develop housing in Ballymun with an end value of £30 million. There will be 129 houses and a 300-bedroom student complex. All of the units will qualify for Section 23type tax relief.

Hugh Markey of Lisney, which is adviser to Ballymun Regeneration, said the interest in Ballymun has been incredibly strong. Since publishing the strategy for the Main Street last October, it had been handling three to five inquiries a day from developers, investors and retailers.