The first new homes at the site of the former Central Mental Hospital in Dundrum, south Dublin are expected to be completed by the end of 2028.
The withdrawal of a High Court challenge on Monday “clears the way” for construction to continue with enabling works already under way, the Land Development Agency (LDA) has said.
Developer Mark Leonard has withdrawn his challenge to the construction of almost 1,000 homes. Lawyers for Leonard told the High Court on Monday the judicial review proceedings, against An Coimisiún Pleanála (ACP) and Dún Laoghaire-Rathdown County Council, were being withdrawn.
Leonard filed court papers last month initiating the proceedings, which related to ACP’s decision in December to grant permission to the county council and the LDA for 934 affordable purchase, cost-rental and social homes on the old hospital site.
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The LDA said on Tuesday that enabling works were under way and will run until the third quarter of this year “with the main construction works to begin after that”.
“We’re targeting the delivery of first homes for late 2028,” it said.
The LDA is the State’s affordable housing delivery body. Its main role is to acquire and develop State and other land to deliver affordable homes.
John Coleman, chief executive of the LDA, said previously that the overall completion date was set for 2030.
Coleman said the cost of the homes will be determined closer to completion with affordable cost rental homes set at between 25 and 33 per cent lower than market value.
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“It’s quite a high-value area, so we would anticipate it will be roughly a third less than what the market value is at that time,” he said earlier this year.
The Dundrum site is one of the most prominent housing sites in the LDA’s portfolio of State lands.
Leonard previously took a separate legal challenge to permission granted for 852 homes at the hospital site under the now-defunct fast-track strategic housing development scheme.
In that case, Leonard argued that the development was in conflict with the Dún Laoghaire-Rathdown county development plan.
An Bord Pleanála, ACP’s predecessor, conceded that challenge, but the LDA, which was a notice party, decided to continue to defend the case, which remains live.
Coleman told an Oireachtas committee last year that the court challenge delayed the plans by two years, and added “at least €30 million” to the €400 million project cost. This was the equivalent of putting at least €30,000 on to the cost of each home.
The development, known as Dundrum Central, will comprise a mix of housing units including apartments, duplexes and houses. The former main entrance to the hospital, on the Dundrum Road, will be used for emergency vehicles only, with a new entrance further south along the road. The high walls surrounding the location will also be lowered.
Coleman said it would be difficult to turn the old hospital building on the site, which is a protected structure, into apartments but they were “looking at all options”.
