Deals and discounts as market hits hard times

TRENDS:As conditions toughen in the Dublin property market, houses and apartments are being offered for sale at deep discounts, writes Fiona Tyrrell

THREE PARTIALLY constructed trophy homes in Howth, built by collapsed building company DFL, come to the market this week on the instructions of the receiver.

Thulla, Dunbo Hill, Howth is one of a number of schemes coming to the market this week featuring slashed prices, financial packages or buy-back guarantees as developers and selling agents try to combat a troubled economic climate and negative sentiment.

Developer Denis Finn hit the headlines in May when his well-established building company DFL went into receivership.

Unusually Mr Finn went public on the matter and spoke candidly about a lack of buyers, serious cash-flow problems and an inability to raise further financing from the banks.

Now, on the instructions of the receiver, Kelly Walsh is selling houses at one of DFL's schemes in Howth - Thulla, a scheme of five large-scale houses.

It's no surprise to hear that prices have been scaled back. One detached property sold for €3.6 million earlier this year and a site sold for €1.7 million.

Now Kelly Walsh has set price tags of €1.25 million and €1.5 million on two two-storey semi-detached houses with private courtyards and roof terraces.

A larger three-storey detached house is priced at €1.8 million.

Houses range in size from 266sq m (3,863sq ft) to 327sq m (3,520sq ft). The properties, designed by Robin Mandal Architects, are finished on the outside but only partially complete on the interior.

Meanwhile, wealth management firm CMC is selling apartments at the South Central apartment scheme in Sandyford with a guaranteed annual return of 5 per cent and an offer to buy back the units from investors after a five-year period.

The apartments are priced at €395,000, down from €562,000 in September 2006.

This 5 per cent income return is being guaranteed by the developer, the Fleming Group, and an 80 per cent non-recourse loan is on offer from an Irish bank.

Finally, second-hand home agents are also making tough decisions - and deep price cuts - in order to sell houses.

Ballycarbery, a period house on St George's Avenue in Killiney, first came on the market at €4.5 million last March. Now the price has been cut to €2.25 million - a reduction of 50 per cent.

The 185sq m (1,991sq ft) three-bed house has sea views over Killiney Bay and is set on an acre of mature and secluded gardens.

Ballycarbery was once home to Toddy O'Sullivan, the colourful manager of the Gresham Hotel. Guests who spent the night at Ballycarbery include Princess Grace of Monaco.