GHOSTS WITH A CHANCE new series on empty estates that can work:The houses in a ghost estate in a picturesque west Cork village could still sell – if prices are slashed
WEST Cork is best known for its unspoilt beauty and bohemian lifestyle, but even the scenic south-western tip of Ireland hasn’t escaped the construction boom unscathed, and has its own scars to bear in the form of uncompleted and empty housing estates.
Ghost estates seem even more of a sacrilege when located in spots as idyllic as West Cork. But while many people may feel that the bulldozer is the best solution to this problem, a small number of estates – most notably Copper Point in Schull which was developed by Walsh Group – are built in such beautiful locations and to such a high design standard that they could have a viable future as tourist accommodation or second homes, but only if prices are slashed.
The region is fortunate in that it has long been a draw for tourists, artistic types and stressed-out professionals who decide to “give it all up” and live the simple life in West Cork. And of all the picturesque destinations in the area, Schull is among the most popular. Indeed, until the property bubble burst, the little fishing village was known as the D4 of West Cork for second homes.
There are several luxury holiday home developments in the locale, but Ricky Walsh, founder of Cork city-based financial services and property firm Walsh Group, had intended that his Copper Point project would be West Cork's most prestigious. But though the development's show homes (which featured on RTÉ's Showhouseprogramme in 2009) attracted thousands of viewers when originally launched in 2008, all 55 units remain unsold.
In a quaint pub on the main street of Schull, where an English band is drinking Guinness and providing some requisite West Cork glamour, the woman working behind the bar says there is never any sign of life in the estate. A very short stroll brings us to Air Hill where a huge sign now falling apart marks the entrance to the development.
Walking into Copper Point is like stepping into an architect’s drawing, albeit one that is now tatty around the edges and missing the happy couples and frolicking children that usually enliven such scenes. The design is ultra-modern, all angles, gangways and overhanging balconies, but with a nod to tradition with the odd touch of stone and timber cladding. The effect is somewhat stark, but no doubt if the houses were painted and occupied it would soften the appearance.
Several blocks within the development are completed and ready to move into, but some of the later phases require more work. The stretch along the roadfront, which is earmarked for local authority housing, looks particularly unloved. But even in its neglected state, one can see why Walsh thought he was onto a winner with this development. Perched at a height above the village, Copper Point enjoys views of Schull’s yachting harbour and the bay beyond, while being sheltered by the spectacular backdrop provided by Mount Gabriel.
One of the key attractions of Copper Point is its location in one of the most charming villages in West Cork, with Schull’s lively pub scene, country markets, little chichi galleries and an art festival right on its doorstep. Then of course there are all the activities that the harbour offers, from sailing, windsurfing and kayaking to ferry trips out to Cape Clear.
So what went wrong? Timing, or more to the point, mis-timing. Launched in July 2008 amidst a fanfare of nautical puns and predictions that the upmarket Copper Point would “rise well above the low-tide of current property market activity”, there was no shortage of interest initially.
The design was well-received and buyers didn’t baulk (or not at first) at the prices on the two and three-bedroom properties, which started at €450,000. Sales were even agreed on 15 properties. In the end, though, prospective buyers got nervous and backed out.
People living in the vicinity of the development said they could see it was never going to work, and it is clear that some bad feeling exists towards Copper Point. A man power-hosing a tractor in a nearby yard tells us that even if all the properties were sold and occupied, it wouldn’t be an ideal situation because Schull couldn’t sustain such an influx of new residents.
During the summer, “you can’t even drive through the village because it’s so crowded with cars and people”. He tells us the demand is not there for so many new holiday homes. “There are enough houses already,” he says.
Another local resident believes the village should have stood stronger and stopped the development from going ahead. Not only is it unsightly to have it sitting there empty, but it wasn’t required in the first place, she says.
So what does the future hold for Copper Point? The Walsh Group declined to comment for this article. However it is understood that loans secured on Copper Point have now been transferred to Nama. Nama never comments on any individual cases, and specifically refused to make any comment about Copper Point. In general though, developers must get approval from Nama for any business plan that relates to assets on which Nama-owned loans are secured, a spokesman for the agency said.
“Nama is unlikely to object to reasonable proposals to relaunch developments at a reasonable price,” the spokesman said. “Nama’s philosophy is that a property is worth what the market will pay for it.”
So what will the market pay for Copper Point, should the Walsh Group go ahead and re-launch it?
An estate agent with knowledge of the local area says the market has been extremely quiet for the last two years, but since Christmas there’s been a noticeable pick-up, with cash buyers from Germany, the UK and Ireland returning to the market. “From a builder’s point of view, the downside is that prices are 50 per cent down at least (from the peak),” he said.
In Schull the days of achieving €1 million-plus prices are over, he says. Houses that were previously in that price bracket are now making in the region of €500,000 to €600,000. So if the Copper Point houses were originally priced at €450,000, they’re likely to be worth about €275,000 now, the auctioneer says.
“Copper Point is a nice estate and it’s a shame that nothing has sold,” he says. “It could be looking a bit better. At the same time that still doesn’t take away from the fact that they’re nice houses. And whenever Ricky Walsh decides to reduce his prices in line with the market I’m sure they’ll sell very well.”
