€50m French embassy fails to sell and is back on market

THE FRENCH government has failed to clinch the sale of its embassy residence on Ailesbury Road in Ballsbridge, Dublin, despite interest in the €50 million property from three of Ireland's wealthiest businessmen.

The mansion on 1.75 acres is said to be back on the market after a lengthy but inconclusive tender process.

Now, however, it has some competition.

Nearby on Shrewsbury Road, "Walford", the house that made a record €58 million in 2005, is also quietly back on the market.

Empty for the last three years, the dilapidated seven-bedroom house on 1.8 acres is for sale at €75 million, despite the housing market having tumbled by an estimated 20 per cent.

Now, at least one well-known property player has been offered the house in a private deal for a suggested price of €75 million.

According to one industry source who declined to be named, its current value is closer to €40 million, "and that's on a good day".

Reports that telecoms tycoon Denis O'Brien was about to buy the French embassy residence meanwhile have proved wide of the mark.

The businessman is believed to have withdrawn his tender for the 11,000 sq ft house, which needs a facelift that could cost up to €5 million.

Financier Derek Quinlan has also bowed out of the French embassy race, leaving property developer Johnny Ronan as a possible purchaser.

However, Mr Ronan has also indicated to The Irish Times that he will not be buying the mansion.

Selling agent Lisney would neither confirm nor deny that the property is back on the market.

John O'Sullivan of Lisney said a number of tenders were received last February, but the French government's preference for a property swap, rather than a straightforward sale, led to protracted and sometimes testing negotiations.

© 2008 The Irish Times

This article appears in the print edition of the Irish Times