Two-thirds of developers say Government’s housing plan is not achievable

Two out of three property professionals do not believe the Government’s housing promises are achievable, a new survey by Mason Hayes & Curran has revealed.

Taoiseach Simon Harris has committed to building 250,000 homes in the next five years, but the findings underscore significant concerns within the sector about meeting this goal.

The survey of 400 industry stakeholders sheds light on issues impacting Ireland’s property market, such as housing supply, infrastructure priorities and future demographic trends.

The findings show close to two-thirds (64 per cent) of respondents believe planning regulations are the most significant factor impacting the supply of housing in Ireland.

This outweighs concerns about financial resources (13 per cent), land availability (12 per cent) and workforce availability (11 per cent).

Jamie Fitzmaurice, real-estate partner at Mason Hayes & Curran, said: “While there is a level of scepticism around governmental targets, we are seeing some positive signs when it comes to housing supply.

“There is more capacity in the market in terms of workforce, which could help to reach those targets. Some of the previous issues have abated somewhat, including the post-Covid hangovers, rampant inflation and supply-chain issues.

“But difficulties still remain and need to be tackled. One of the key takeaways is the critical importance of State intervention in the housing market.

“The viability of a number of developments depends heavily on State involvement, be that through the Land Development Agency, the local authorities, the approved housing bodies or those lending to such organisations.”

Six out of 10 respondents said energy efficiency upgrades are the most critical sustainability initiative for the future of property investments.

[ Housing Commission report suggests underlying housing deficit of up to 256,000 homes ]

Infrastructure was also a key focal area, with seven out of 10 respondents (69 per cent) saying planning hurdles are the biggest barrier to scaling up infrastructure investments in Ireland.

The MetroLink was identified as the most critical project to Ireland’s future development (43 per cent), followed closely by social and affordable housing projects (36 per cent).

David Gunn, construction partner at Mason Hayes & Curran, said investing in things such as public transport, healthcare and affordable housing “not only helps the economy but greatly improves the quality of life for everyone living in Ireland”.

“A clear pipeline of projects assists the private sector in scaling up and committing to a long-term business presence here,” he said.

“Having certainty around funding makes it clear to the private sector that projects which are planned can and will be built, which is essential for meeting our long-term infrastructure targets.”