Employment blackspots to benefit from business parks

DEVELOPERS of two new enterprise zones in the Dublin area, generally regarded as unemployment blackspots, have received a considerable number of enquiries since their sites were designated six weeks ago.

The proposed business parks at Ballyfermot and Finglas will be hoping to emulate the huge success of East Point, Dublin's other enterprise area in the docklands which has attracted a wide range of international tenants and an impressive array of institutional and private investors.

On April 30th, just before the general election was called, the outgoing Coalition designated an 80-acre site in Gallanstown owned by a company headed by Pat Doherty and a 66-acre site in Finglas owned by Bovale Developments. The tax incentives are broadly available to firms either in research and development or international trading. Companies involved in areas such as computer services, tele-marketing, healthcare, commercial laboratories and other industries have to be approved by Forbairt and IDA Ireland before they can avail of the tax breaks.

The aim is to attract high calibre businesses which generate new wealth through their manufacturing operations or internationally traded services. Such companies are seen as offering long-term, quality jobs, generally of a high skill level and have good potential for generating extra employment in the future.

Owner-occupiers can claim 100 per cent capital allowances, while tenants are entitled to double rent relief and a remission of rates on a sliding scale over 10 years.

Investors qualify for 100 per cent capital allowances.

Tom Bailey, a director of Bovale Developments, which owns the Finglas site adjoining the Poppintree Industrial Estate, said his company had appointed architects Scott Tallon Walker to draw up a master plan for the project. Already, Bovale had received a number of inquiries from large firms, mainly located in Ireland, which are thinking of expanding. "The demand is strong," he said, adding that the company will be marketing the park internationally.

Part of the enterprise area will be set aside for a research centre, which will be run by Dublin City University.

Mr Bailey said the developers hope to build around 22,000-23,000 square feet per acre. They will divide the land into three 22-acre sites, as it lends itself to such division. The company will build on demand and will probably sell on the investments.

Mr Bailey said the business park will be built to a very high specification, along the lines of East Point Business Park. Bovale has retained Dermot Pierce who is involved in East Point, as an adviser.

He said the units will vary in size, and he expected demand from big corporations such as those involved in drug research who may want up to 30,000-40,000 square feet.

Mr Bailey says the designation came as a pleasant surprise, but says the development would have gone ahead at some stage. The Coalition said the aim was to create jobs. Local TD Ms Roisin Shorthall estimated that up to 3,500 jobs could be created.

However, Finglas is better known for its high unemployment and deprivation than as a business centre. Mr Bailey says Bovale is confident that with strong marketing it can bring in viable, job creating companies.

Even if all employment is not drawn from the local area, he argues that these businesses will provide huge spin-off employment for those local services and companies.

The site is just a few minutes drive from the interchange of the Northern Cross motorway, with the North Road/Finglas Bypass. It provides fast access to all the main routes from Dublin, including the airport and Belfast.

The second area which was designated is an 80-acre site at Gallanstown, west Dublin. It forms part of Park West, a highly successful business park which is being developed at the interchange of the M50 ring road and the Naas Road.

Already over 400,000 square feet of space in the first phase of the scheme has been taken up. The industrial and warehouse buildings are based on a 30-acre site.

Sean O'Neill of agents Lambert Smith Hampton says the aim of the designation is to bring more labour intensive industries into the area. The problem with warehousing units, he says, is that they do not create very many jobs.

The company will build units suitable for hi-tech businesses, every much along the lines of the East Point Business Park", he says.

The units will vary from 10,000 square feet upwards. He says the developers will be able to tailor the units to the specific needs of companies.

He says since the area was designated, they have received a number of inquiries varying from companies involved in tele-marketing and internationally-traded services to manufacturers looking for up to 100,000 square feet.

He expects work on the first units to start around September, probably for completion next spring. No final decision has been taken on prices.

The developers and the Office of Public Works will be upgrading the Grand Canal, which forms one of the boundaries of the site. There will be a strong emphasis on very high quality landscaping," says Mr O'Neill.

The Cherry Orchard railway station is located beside the site and it is being upgraded. Mr O'Neill says Heuston Station is only four minutes away using the fast Arrow train service and this is a major advantage. It is planned to transport people around the business park via minibuses.

He admits that the area doesn't have the image it might desire. However, he says "once it is done right, there should be no problem marketing the park".

He added that the developers are maintaining close contact with local community groups to try to ensure that as many local people, as possible get jobs with businesses which choose to locate there.