Irish Housing Reforms Aim to Revive Apartment Construction Amid Crisis
The Irish government plans to reduce minimal apartment dimensions to combat a housing crisis, stemming from a 24% drop in apartment construction. Despite intentions to maintain essential regulations, critics fear subpar living conditions. Developers cite rent controls and interest rates as barriers to new home supply.
- Country:
- Ireland
The Irish government announced plans to cut minimum apartment sizes and requirements for open space in a strategic move to reverse last year's 24% decline in apartment building. The ruling coalition underscores its housing crisis priority, as last year's homebuilding fell short, with only 30,000 units constructed against a 50,000-unit target.
"Decisive action is being taken without compromising essential regulations to make apartment building more viable," stated Housing Minister James Browne, vowing to "engage every mechanism available" to boost construction. The updated guidelines could cut costs by 50,000-100,000 euros per unit, Browne added.
Opposition parties critiqued the revisions, noting potential drops in living quality and recalling previous unsuccessful cost reductions from 2018. Property developers attribute new rental supply issues to stringent rent controls and high interest rates, despite the government's recent rent-control system adjustments.
(With inputs from agencies.)
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