THE Harbour Place shopping complex in Mullingar, at the centre of the latest allegations against Mr Michael Lowry, opened two weeks ago.
The centre, which cost about £8 million, was developed by a Kilkenny based company, Deerland Construction, which is owned by Mr Derry McPhillips. Dunnes Stores occupies over two thirds of the complex, which the supermarket chain bought for an undisclosed sum. The shop is expected to have the largest turnover of any Dunnes Stores centre outside Dublin.
The complex was first proposed in 1986 and planning permission was granted by Westmeath County Council a year later, for what would then have been one of the largest shopping centres in the State. Planning permission, however, was revoked by An Bord Pleanala following objections by residents and local traders.
Mr McPhillips reapplied for permission in 1990 for a scaled down development and, after an oral hearing, the board granted permission subject to 23 conditions.
The proposals were shelved until Mullingar was included in the Urban Renewal Scheme in the 1994 budget. Ten acres of the town were to be rezoned under the scheme. The county council recommended the areas to be included.
Mr Paul McGrath TD and four other Fine Gael councillors were opposed to the Harbour Place site being included in the scheme.
At a council meeting in March 1994 he said the inclusion of the site, which would mean huge tax benefits for both the construction company and those who leased units in the complex, would make Westmeath the "laughing stock of the country". He opposed giving "out of town" developers tax breaks before local ratepayers, and said that many areas of the town would suffer neglect if they were not given preference.
Mr McGrath and his colleagues were overruled by the other councillors and the decision to include the site was approved by the then government.
It is unlikely that the centre would have been built without the tax incentives provided under the Urban Renewal Scheme. The scheme gives tax relief to the developers, as well as reduced rates and double rent allowance to tenants. The 100,000 sq ft centre has 25 units apart from the Dunnes Stores shop. Rents for the units, which are valued at £7 million, are going for £30 per sq ft. Only four units remain to be let.