T McGibney
Registered User
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Still cheaper, and they won't have to maintain everything for 10 years. Without significant maintenance, it will be all but worthless in 10 years.The fact that they are willing to pay out approx 240k in rental payments over the next 10yrs and still not own the place.
They could buy it now for 300k.
Under the long term scheme the council do all maintenance on the property and it is returned to owner in condition handed over.Still cheaper, and they won't have to maintain everything for 10 years. Without dignigitmaintenance, it will be all but worthless in 10 years.
Likely a combination of budget and pressure I would have thought. For each 300k in their budget they can buy 1 or rent 12. Which gets their waiting list down more quickly? How many working there are really planning for 10 years time?The fact that they are willing to pay out approx 240k in rental payments over the next 10yrs and still not own the place.
It’s also a healthy de-risking exercise by the state.For each 300k in their budget they can buy 1 or rent 12.
Agreed, it's been shown time and time again that the private sector can deliver them more cheaply.The idea that the state should build monoculture semi-Ds for families is prehistoric.
That's inaccurate. The public sector doesn't build homes in this country and hasn't built for a long time. The private sector builds for the public sector one way or another. At best some parts of the public sector have professional staff who can form part of the design team, but it's far more usual that they write a specification which is used to tender for the design team.Agreed, it's been shown time and time again that the private sector can deliver them more cheaply.
That's inaccurate. The public sector doesn't build homes in this country and hasn't built for a long time. The private sector builds for the public sector one way or another. At best some parts of the public sector have professional staff who can form part of the design team, but it's far more usual that they write a specification which is used to tender for the design team.
It's been shown time and time again that the private sector extracts far higher prices from public sector contracts than from the equivalent private sector contracts. That's true of both housing and office- there's no way for example any contractor would have dared charge €440k for a glorified mobile home like they did for the OPW, because they'd never get another job again.
The real problem is that virtually none of the people "responsible" (quotation marks because it's blindingly obvious nobody is actually held responsible) for public works could manage the construction of an ikea wardrobe at a reasonable cost, never mind a residential or office development.
On the question of luxury apartments in D4 for social housing, I'm totally fine with that. (FWIW neither i nor any family member I'm aware of has ever benefited from social housing). Social housing benefits more it costs, and there's behavioral trends which suggests putting poor people in wealthy areas is probably the best use of social housing because the poor kids will have peers who expect to go to college, pay tax etc and people tend to conform. Ultimately the money comes back several times over to the taxpayer, it just takes a while. A residential property is a 100 year asset.
I also don't agree that there's any moral hazard to providing secure social housing. I think the maximum contribution is 16% of income, so you'll have to earn €75k a year to pay €12k annual rent in Dublin which would be an absolute bargain. It reduces the incentives attached to higher wages but that's true of every tax. You need to be truly bad at maths to think there's no financial benefit to earning €60k instead of €50k etc.
Selling social housing to tenants on the other hand is just stupid.
A big problem is the early leaking or announcement of public sector projects.is the private sector being in a position to cancel / stop a project when it doesn't make financial scene.
Fundamental reason, as per the Childrens Hospital fiasco, is that the Public Sector is, in general, incapable of writing a clear, decisive and comprehensive set of requirements for anything as anyone who has ever had to respond to such a tender will be aware of. Some of them (and not just in the construction sector) are so awful it beggars disbelief. I've seen one recently where the clarification question document was longer then the tender document itself.It's been shown time and time again that the private sector extracts far higher prices from public sector contracts than from the equivalent private sector contracts. That's true of both housing and office- there's no way for example any contractor would have dared charge €440k for a glorified mobile home like they did for the OPW, because they'd never get another job again.
The real problem is that virtually none of the people "responsible" (quotation marks because it's blindingly obvious nobody is actually held responsible) for public works could manage the construction of an ikea wardrobe at a reasonable cost, never mind a residential or office development.
Not all specs are bad in fairness, but most are.Fundamental reason, as per the Childrens Hospital fiasco, is that the Public Sector is, in general, incapable of writing a clear, decisive and comprehensive set of requirements for anything as anyone who has ever had to respond to such a tender will be aware of. Some of them (and not just in the construction sector) are so awful it beggars disbelief. I've seen one recently where the clarification question document was longer then the tender document itself.
There is also now an insistance on everything being "fixed price" in a very rigid manner. Hence anyone who submits a price for a Public Sector contract is adding a significant risk factor onto everything, and by significant, I mean 30%+ as a minimum,
You'll note I didn't claim that they built themselves. That particular practice was eliminated long ago due to the private sector of the time being able to build for less.That's inaccurate. The public sector doesn't build homes in this country and hasn't built for a long time.
I'm not. I don't care. It's an immensely complex one-off project. I'm appalled at the waste and mismanagement within the HSE and at all levels and categories of employment within the HSE.As a taxpayer I'm apalled at the cost of children's hospital
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