€5m written off value of Temple Bar trust investment properties

TEMPLE BAR Cultural Trust wrote €5 million off the value of its investment properties last year, but the company’s operations continued to make a profit.

Accounts due to be filed by the company that manages Dublin’s tourist and cultural quarter show that it had income of €2.2 million in 2010, which was in line with the previous year.

At the request of Dublin City Council, the company’s only shareholder, the trust’s 28 investment properties were revalued last year.

The exercise, carried out by the council’s chief valuer, resulted in the company writing down the value of the properties by €5.4 million to €9.4 million.

However, the company said yesterday that despite the revaluation, the properties remained in positive equity. The premises involved – a mix of commercial, retail and residential buildings – are held as long-term investments.

Temple Bar Cultural Trust generated pre-tax profits of €41,000, down 60 per cent from 2009, when it generated a pre-tax surplus of €102,000. Its 2009 surplus was boosted by a change in its approach to accounting for cultural buildings in the quarter.

After tax, its profits for the year came to €553,422, which was largely made up of a deferred tax gain of €512,500, which stems from accounting rules allowing previous years’ losses to be brought forward to reduce tax liabilities.

Temple Bar Cultural Trust said yesterday that its activities remained stable during the year and indicated that it expected revenues to increase in 2012.

Chief executive Dermot McLaughlin said that a policy of not imposing “excessive” rent increases on tenants during the boom had helped maintain high levels of occupancy. “Demand for our commercial, cultural and retail spaces remains strong,” he added.

Its figures show that on December 31st last, total assets were €49 million, down from €54.8 million 12 months earlier. Net assets were €10.8 million on the balance sheet date, down from €15.6 million previously.

During the year, Temple Bar Cultural Trust began work on a Fáilte Ireland-backed €2.4 million redevelopment of Meeting House Square in the centre of the area. The installation of a canopy-style retractable roof will allow the square to be used as an “all-weather” venue with a capacity of up to 1,000 people.

The company’s remit is to manage and promote the Temple Bar district in Dublin as a cultural centre and tourist attraction. It has two subsidiaries, Fishamble Music, which runs the area’s music centre, and Irish Film Centre Development Ltd.

The company’s turnover is made up of rental income and cultural contribution, which accounted for €1.7 million of its 2010 revenues. Production income made up the remaining €500,000.