€5,000 levy on new homes along Luas line proposed

Levies will be imposed on those granted planning permission for homes and other developments along a proposed Luas line extension…

Levies will be imposed on those granted planning permission for homes and other developments along a proposed Luas line extension, if a plan by Dún Laoghaire-Rathdown County Council is given the go-ahead. Under the scheme new homes built along the Luas line from Sandyford to Carrickmines would have to pay levies of an estimated €5,000 each.

The council's director of transportation, Mr Éamonn O'Hare, said yesterday the value of homes built along the Luas would significantly increase once the transport system was in place and the council believed therefore that homes built in the area should make a contribution to the scheme.

He said Section 49 of the 2000 Planning and Development Act permitted a local authority to impose levies for specific purposes, and the council had decided to invoke this section to part-finance the construction. "I believe this is the first time this section of the Act is being invoked."

Members of the county council agreed that the proposal to impose the levies should be put out for public consultation earlier this week. The lands to be levied, if built on, are outlined on maps on display at the council's offices in Dún Laoghaire and Dundrum. The council has also organised for a series of information meetings next month.

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Submissions must be made by November 28th.

The scheme cannot come into force unless it is approved by members of the county council after the public consultation process is complete.

The levy proposed per hectare for residential developments is €250,000. Mr O'Hare said the average number of houses per hectare was 50 which would result in a levy of €5,000 being imposed on all new dwellings.

The levy proposed for commercial developments is €570,000 per hectare.

Property developers with land along the route have already indicated they would part-finance the seven-kilometre extension of the line. They have offered to fund half of the total cost, estimated at €152 million-€184 million, provided the other half is financed by the Exchequer.

Members of the consortium include Castle Market Holdings, Carrickmines Properties, Dunloe Ewart, Park Developments and William Neville and Sons.