Gunne says tax breaks are crucial to docklands success

The issue of tax allowances for Dublin's Docklands will be a crucial factor in influencing the future development of Dublin city, Pat Gunne, managing director of Gunne estate agents, told guests at the official opening of the company's new corporate headquarters in Ballsbridge. The offices, located at 164 Shelbourne Road, Dublin 4, were officially opened by the Minister for the Environment, Mr Dempsey. Mr Gunne said the outcome of discussions between the Government and the EU regarding tax allowances is being awaited by developers and if a full urban renewal package is available, construction could commence within a number of months on projects with a completion value of £1 billion.

Mr Gunne said planners were now generally accepting that Dublin must increase densities, and as a result the releasing of up to 1,400 acres in the Docklands is crucial to the future success of Dublin as a major European city. "Because of the relatively poor infrastructure in the area and plans for other development in the city, a comprehensive package of tax incentives, including double rent allowance and rates relief for occupiers, is essential to ensure that development on a major scale takes place."

He predicted demand for commercial and residential property would continue to remain strong, due to Ireland's healthy economy and the very favourable population trends. "We are enjoying net inward migration of nearly 15,000 people annually, unemployment is at an all-time low and the cost of borrowing funds is being reduced as we enter European and Monetary Union," he explained.

"The economic prosperity being enjoyed has made Ireland very fashionable on the international scene, both in terms of inward investment for business purposes, particularly from the United States and Europe, and also as a holiday destination or permanent private residence," he said.

The only major obstacle which Mr Gunne indicted could possibly interfere with the continued expansion of Dublin as a major European and international base is the current traffic problem, which is being experienced on a national scale. "If Ireland is to remain attractive to major international operators, particularly in the manufacturing industry, the transport infrastructure will require major investment over the next few years," he said.