Let’s talk about housing.
Walking around Dublin city, whether on the Luas line between Museum and Smithfield, or over the river at the Coombe and the Liberties, you notice the number of vacant sites in prime positions for building homes. The city centre is pockmarked with overgrown zones of dereliction – hemmed in, away from our eyes, by cheap hoarding. These sites are waiting to be developed.
There are obvious sites that could be redeveloped immediately and would not only add to the housing stock and thus be part of the citywide solution to the housing crisis, but where the very development itself would contribute enormously to the city’s visual environment. Dublin should not have such eyesores. No continental city suffers such blight; it simply isn’t tolerated in most city centres.
In terms of the feel of a place or an area, dereliction is contagious. One derelict site leads to more dereliction, because as a site is left to go to rack and ruin, it sends a depressing signal to the rest in the area and dereliction spreads.
The opposite is also the case: regeneration leads to further regeneration as it sets the tone for the whole area. This is the alchemy of renovation. Each new development sets off a process of renewal which has untold benefits. These residential, commercial and environmental upsides have a self-reinforcing nature.
Therefore, it would seem obvious that the second phase of housing minister Coveney’s moves to address the rental crisis and housing shortage in our urban areas should be some penalty for those landowners that allow these pivotal sites to slide into dereliction.
The reason I say the ‘second phase’ is because I believe that the rental moves announced earlier this week have to be only the first part of an overall strategy to get to grips with the housing crisis.
This strategy, if it is to be successful, will involve carrot and stick: carrot when it comes to nudging or coaxing more investment from the private sector into housing, and stick where nudges are far too gentle and aren’t sufficient to shift apparently interminable problems like unsightly dereliction.
Having faced down his opponents, the minister has tipped the political scales in his favour and he can use his newfound political capital to accelerate his plans for the housing sector.
Let’s just recap what was announced on Tuesday. The main proposal will result in a 4 per cent annual limit on rent rise in designated areas. The system will last for a maximum of three years.
The limits will first be introduced in the “rent pressure zones” of Dublin and Cork city. These zones are neighbourhoods where annual rents have risen by at least 7 per cent in four of the last six quarters and where the average rent in these areas is above the national average in the last quarter.
In terms of politics, Fine Gael is not supposed to do things like this, which makes the minister’s intervention even more interesting.
If this came from the left-of-centre, that would be one thing. But coming from Fine Gael — the party that has traditionally represented the interests of landowners — it means that things are out of control and this is a minister who wants to fix things.
Some argue that rent controls are incompatible with building.
I don’t buy this argument, because it is based on the assumption that the free market was providing accommodation. It wasn’t.
Therefore, if the market isn’t working, it means that, socially, the minister had to move to stop rent rises by decree. So he issued a short-term decree. By omitting new builds from the rent freeze — albeit a double-digit rent freeze over three years — the minister is trying to separate existing supply from new supply. It seems logical, and there is an internal coherence to it.
Another phase of the minister’s plan has to be an acceleration of the building of social or cooperative housing to actually bring down, rather than maintain, the current price of accommodation in Ireland.
At its most simple, the state has to get back into the housebuilding game, as was the case for all of my youth, when hundreds of thousands of Irish people lived in council or corporation housing, where the state acted as the landlord and the houses were provided cheaply.
There are many ways that we can improve on the council house model if we wish to tinker with the basic model. But the basic model has to be the same: designed to provide affordable housing for people. This could be done by creating housing co-ops as they have in Germany, Scandinavia and Holland. By cutting out the developers’ profit, because the cooperative owns the houses and every homeowner has a stake in the cooperative, costs are brought down immediately. This model works perfectly well in countries that have less zoned land than Ireland does per head, have higher wages on average and have no housing problem.
The credit unions in Ireland are the obvious source of initial financing for a nationwide cooperative housing movement.
The credit unions are sitting on €14 billion of deposits and can’t use this to finance housing. Inexplicably, the central bank prevents these community-based credit unions from operating in the housing market – while it is happy to license foreign vulture funds to buy up the housing stock. Figure that one out.
Now that the minister has the political wind behind him, he can press on with a full strategy. There are options once he frees himself from the tyranny of free market dogma when it comes to housing. The market has delivered a recent boom-and-bust cycle to us. It is not the answer in housing. It never has been.
Housing is too important to be left to the short-term calculations of bank lenders, rental yield spreadsheets and the chance of a quick buck. Let’s think long term for once, where development delivers housing, commerce, creativity, investment and social equity. It can be done; let’s do it.
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Finally, fresh thinking. And 100% better than the posturing from the two perennial pretenders, Adams and Mickey Martin. And in the core urban area – where residential provisions is needed to most. It would take workers out of the suburbs, leaving families there. And it would enable intense workers to spend minimal time commutting. Effectively driving up productivity in Dublin. And it you drive up productivity in Dublin, you drive up business attractiveness. It is far more sensible than offering 0.something percent taxation. Because this problem is affecting our business competitiveness. Ireland is telling it’s own workers to go elsewhere.… Read more »
I walked through that exact area of Dublin during the summer (north inner city) and could not believe the amount of derelict buildings/sites around. For a capital city of a country with supposed highest growth rates in EU, it really is shameful. To see large empty sites on what must be valuable land empty…who really owns these sites? And is there nothing that can be done to force people to develop these, apart from a vacancy tax ( that will have multiple exemptions) in 2019? The regeneration of Smithfield has been great, surely the banks/developers can see the potential of… Read more »
As I have already said everything I had to say on rents in my last week’s comments (in valuable discussions with Messrs Flannery, Flannelly, Brogan, Deco and Sideshow Bob on the said topic of rents in Dublin), I am taking the liberty of commenting on the recent riots on Warsaw’s streets and shenanigans in the Polish Parliament, as this topic might dominate the world’s news this week (I hope not) – unless something unexpected happens in the US with the Electoral College voting (I hope not); anticipating this weekend’s dramatic events outside the Polish Sejm, I wrote on this blog… Read more »
To date, I have heard too many discussions about the Coveney bill that are akin to shifting the deck-chairs on the Titanic. This article has opened the door to discussing alternative housing-crisis solutions. I agree with the article pointing out that the Coveney bill, (or some movement by government on the housing-crisis) was/is necessary – but I feel the discussion needs to be balanced by examining its missing half. The point that the proposed bill is not sufficient. (Not nearly in my view). With respect to not running into an ice-berg in the first place, the time has arguably passed,… Read more »
+1.
The Central Bank is now a subsidiary, answerable to the ECB.
And the ECB has repeatedly screwed us since Trichet took over from Duisemburg.
The ECB is a form of economic control.
“I don’t buy this argument, because it is based on the assumption that the free market was providing accommodation. It wasn’t” I am not exactly sure this statement is correct. We were building 80k to 90k units per year in the boom. In other words there is ability and capacity to supply but not at current prices. Vulture funds are picking up large apt blocks for cents on the euro and those apts are coming on stream. I suspect Coveney is hamstrung by the political imperative to save the banks at all costs and not necessarily the land owners which… Read more »
Well…here is somebody who is unlikely to be running for President of France. Of course, as IMF head, she will not need to consider it anyway. http://www.zerohedge.com/news/2016-12-19/imf-head-lagarde-convicted-negligence-faces-no-jail-time https://www.bloomberg.com/news/articles/2016-12-19/imf-head-lagarde-convicted-in-french-negligence-trial According to Bloomberg, she has one appeal option. She did not receive any sentence for what was involved. It is obvious that Mme Lagarde is up to her neck in very suspicious goings on. Tapie is a very controversial figure in France. Any connection to Tapie is an effective disqualification for public responsibility. Lagarde has lost her credibility inside France. But….she is still in charge of the IMF. And she will stay… Read more »
This is now getting extremely worrying to me, and if not dealt with correctly, it might have consequences for the entire balance of power in Europe. The information I have just received would now make me inclined to think that the radars failure a few days ago (no plane could enter the Polish airspace, so all passenger planes were hovering for approximately one hour near its borders) as I showed from the snapshot taken from the international radar map was not an accident, but it was probably a foreign attack: why? Because we are seeing more fireworks – when Prime… Read more »
Credit Unions here are a source of financing but their rates are no better than the banks and often higher. The offset is that they tend to be local and familiar with the local markets and so a little more inclined to lend where the commercial banks will not. I have a small CU mortgage. It was not available from a bank, but the amortization is shorter and the rate higher. The net result is a more conservative amount of money is available to be borrowed. Where we are suits me. It is could be classified as low cost housing… Read more »
https://stopthesteal.org/leftists-rejoice-election-hacked/ 1 Comment caymanbaron caymanbaron on December 19, 2016 at 11:54 am treason: Obama fake forged birth certificate. Facebook being trained by communist china to sensor us, hillary take over, she sold arms in the world, killed our 4 people in bengazi. Allepo us colonel and israel general caught with ISIS in drag net, whats going on??? we know. We need to rise up now and take our country back and charge treaseon to our current lieing govt thats whats important. They have a police state over us, we ne a revolution now enough is enough. Im tired of all… Read more »
This is the overall situation regarding the current and near future of the money markets. The great reset is already in action although unnoticed by most. The premiums on the gold and silver price in the physical market now regularly above the so called spot price as dictated by the banker participants in the COMEX paper market and the london bullion Market. The Physical market demands instant settlement in cash or bullion. The spot price is settled by trade in the paper market which are merely promises to pay in the future. Backing these paper trades is little of no… Read more »
David McWilliams, A mass movement of housing Co-ops emerging from nowhere and getting to use money that isn´t theirs to build thousands of units on imaginary sites that, even if they existed and could be aquired, couldn´t take those numbers of units without the planning system and land law being completely ripped apart. Absolutely brilliant. So far fetched it defies belief. This dosen´t even make it into the doodled-on-back-of-envelope category of bad idea. Maybe you could turn this story into a touch-feely fairytale movie like “Into the West´´. Maybe it could be called “Back to the Big Smoke´´. maybe it… Read more »
The Donald is Trumps with the US Electoral college
http://www.npr.org/2016/12/19/506188169/donald-trump-poised-to-secure-electoral-college-win-with-few-surprises
Those with a wise imagination know who is behind this assassination. . Hint ; . Cui bono ? / Who benefits ? . https://www.google.com/?gws_rd=cr&ei=aHpYWOuoLIyLvQSlyqyADA&fg=1#q=Cui+bono+%3F+%2F+Who+benefits+%3F . . RT: Putin: Russian ambassador’s murder provocation aimed at undermining Syria peace process The fatal attack on Russia’s ambassador to Turkey, who was killed by a gunman on Monday, is “clearly a provocation” aimed at undermining both Russian-Turkish relations and the settling of the Syrian crisis, Russian President Vladimir Putin said. “This murder is clearly a provocation aimed at undermining the improvement and normalization of Russian-Turkish relations, as well as undermining the peace process in… Read more »
It’s all over the main-stream media [ MSM ] now Re ; x] the murder of Russia’s ambassador to Turkey. y] truck plowing through a Christmas market causing deaths & injuries. . . Re ; x] A big clue pointing to the Dreadful Few as culprits in the Russian ambassador’s murder is that the assassin shouted the classic false flag motto “Allah Akbar” when he murdered Russia’s ambassador. Shouting Allah akbar reminds one of the Muslim ID cards left as fake evidence at the scene of 9/11 with the molten steel and debris ; As if plastic ID cards could… Read more »
Of course, the Civil SERPENTS operate cap-in-hand for IBEC. . But, IBEC feel need to tell those who are only plebs & not in the Civil Service something here ; And, as much as IBEC are criticising the Civil Service pay scales, IBEC are actually underscoring just how highly paid the Civil Service are. Yee see ; They do not want to antagonise them. Afterall, IBEC rely on the Civil Service to control the populace. . . THE ARTICLE . Public sector staff ‘wildly rich in terms of pensions’ 19 Dec. 2016 The chief executive of the main employer group… Read more »
“It can be done; let’s do it.”
IT WON’T GET DONE.
I was walking from Smithfield to Henry Street the other day, not something I do very often. Along the way, on the right hand side as I was walking I noticed a huge abyss of a site, quite a depth down from street level, fenced in and full of tall grass and even small trees – it almost looked like a mini savannah. I was short of time but I briefly read some of the informational panels that were concerned with Viking and Celtic archaeological excavations that had been done there (can’t recall exact details though) and an ancient church… Read more »
The US State Department issued a warning to US residents, concerning the elevated probability of a terrorist attack at open air events, that was clearly an indication of likely terrorist attacks on Christmas Markets. The Germany Interior ministry did not issue any warning to it’s own citizens. Now, there is a problem with terrorism in Germany. And there is an even bigger problem with admitting that there is a problem. Because it is an admission to having made a mistake. And it seems that nobody is prepared to admit to making a massive policy blunder. This is indictive of a… Read more »
Meahwhile, Scotland’s answer to the Bertie party continue their search for a political grant driven economy, at the heart of the nEU empire. And somebody decides it is time to speak the truth…. http://www.telegraph.co.uk/news/2016/12/19/nicola-sturgeon-brexit-adviser-pours-cold-water-single-market/ Nicola Sturgeon is the greatest threat to Scottish independence. She has driven Scotland along a road of unsustainable borrowing, in order to hide the oil price decline, and prop up vote buying. It is like FF after the dot com crash, repeated all over again. When she is finished Scotland will be less independent that it was before devolution. It will be an economic dependency to… Read more »
The NWO battle to shut down the free press, and honest information remaining as they control the deceit and lies of the MSM already.
https://www.youtube.com/watch?v=zbYwGdggbtY
One of the best Trump speeches ever at a charity dinner event where HRC also attended. Trump was devastatingly humorous and chillingly pointed at the same time.
https://www.youtube.com/watch?v=XVPDgmJZoPM
http://investmentresearchdynamics.com/its-a-retail-sales-train-wreck/
US poor retail sales figures align with the observation that the US holiday maker from the US was missing in Puerto Vallarta.
The average joe in the US is broke. What affects the US affects all.
Sometime back there was a debate here about the definition of various words ending in ‘flation. Questions were raised about what would or could happen first or when.
other questions asked how could it be that inflation happens at the same time as deflation. How could hyperinflation exist in a depression (hyperdeflation).
Those that are still confused might like to take note of comments here.
http://usawatchdog.com/inflation-stagflation-hyperinflation-deflation-all-at-the-same-time-egon-von-greyerz/
“Coveney needs courage to let go of ‘market will fix it’ chestnut” There is no such thing as a “Free Market” and so trying to rely on it is a fool’s errand. What needs to be done is to enact policy that will free the markets so that they can operate like they should. There is also no use in blaming capitalism for the economy when interference, manipulation, crime and corruption are allowed to substitute for capitalism. There has been no capitalism allowed for a generation or more. We have been living on the wealth accrued by our parents and… Read more »
A recent ad for new homes downtown Victoria BC
http://595pandora.com/
http://investmentresearchdynamics.com/is-the-u-s-stock-market-about-to-super-nova/ “Unfortunately, the only chance you have to financially survive what is coming at us is to get your money out of all financial “assets.” These are not “assets.” They are fiat paper liabilities issued by a Federal Reserve that is technically insolvent by at least $360 billion and likely multiples of that when off- balance-sheet considerations are factored in to the equation. If you don’t want to buy precious metals, at least get your money out of the stock market. While Wall Street shills and the financial media is busy seducing the public with its incessant “Dow 20,000” rally… Read more »
http://www.goldcore.com/us/gold-blog/trumpenstein-who-created-him-and-why/
“”So what next
The world has changed and democracy has been tested. Our media, who became captured in an echo chamber of neo-liberal rhetoric, are undergoing a painful period of self examination.
I hope, as a society, we will learn from this period and perhaps realign our values to promote the individual and not the corporate, the local community and not the global and most importantly we learn to listen and debate and respect each other, regardless of social status, wealth or belief.””
More than 10 trillion dollars in negative yield which will plunge in value as interest rates rise.
Inflated childcare costs in Ireland leads to what the Marxists would call “the exploitation of workers” http://www.thejournal.ie/parents-creche-workers-money-1941529-Feb2015/ 80 euro per week is maybe not as dramatic if you consider that some people would not save even that from their salary if they had to commute, each lunches in town due to long hours of commuting and rent in Dublin (also, uniforms are usually not provided in hotels – and you need a new pair of shoes every 3 months if you work in hospitality) – but 80 euro a week is still a slavery or thereabouts (that’s less than some… Read more »
When child care costs exceed the benefits of working then one stays home to rear ones own children. When the economy is so damaged that more than two people in a family must work to pay the bills then nothing the government can do will fix the problem. Government overspending with accompanying high taxes and regulation and law are a problem already and will solve nothing by adding yet another layer. The economy suffers from debt suffocation and interest strangulation. These problems can only be solved by a reset on the money system to a non credit honest money system.… Read more »
a set = a reset
“”We are at the point that only a countercoup against the CIA and the Hillary forces can save American democracy.
High treason is alive and well in the United States, and it is operating against American democracy and president-elect Trump.””
http://www.zerohedge.com/news/2016-12-19/paul-craig-roberts-warns-only-counter-coup-can-save-american-democracy
All governments are the same. a blatant disregard for the taxpayer money.
http://www.cbc.ca/news/politics/sohi-infrastructure-minister-office-renovations-debate-1.3634811?utm_source=Action+Updates&utm_campaign=bc603eeaee-EMAIL_CAMPAIGN_2016_12_20_milliondollarreno&utm_medium=email&utm_term=0_59605796e2-bc603eeaee-33358738
Apart from the credit unions there are pension funds with money looking for a decent return who could help with the finance side of things.
State of the Nation. The Civil Servents are seeking pay rises that the country cannot afford using the usual approaches Pay rises in the public service have to be self financing. If they are not (and maybe even if they are) then a real day of reckoning will ensue. Added to this the EU is undoubtedly trying to destabilise Ireland also (not exactly sure what their agenda is but I suspect it has a lot to do with 2008 and ECB being wrong footed by the guarantee). Irish citizens are now officially under siege. Something has to give. Official Ireland… Read more »
Surely, more than Euro 100 Billion per year of Fish & other sea-food robbed “legally” & “illegally” from Ireland’s continental shelf / lawful territorial waters by E.U. member states ? . Even a fraction of that sum would provide each Irish citizen > 17 years with private property ground space sufficient for very spacious “physically transferable” 3-bedroomed home [ hopefully “off-the-grid” in every way per utilities, or at least progressively so as technologies & / or knowledge & / or social justice advances ] ; And, I am appreciative of ur keen interest, McCawber, in solving problems with elegant new… Read more »
Mr. “War-Crimes” against Serbians, Somalians, Palestinians, inter alia now in very bad health.
Still, one should get no delight from the suffering of anyone ;
I say this because schadenfreude* abounds.
And, always there are many in Ireland who are expert at hiding their practise of the vice of “schadenfreude”
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Ref.
http://www.rense.com
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Bill Clinton On Way Out –
Shocking Without Make-Up
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Many think he has AIDS.
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*
https://en.wikipedia.org/wiki/Schadenfreude
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http://rense.com/general96/billonethewayout.htm
If there was “true” direct democracy in Ireland, the majority would be “justly” decree ; . PROBLEM ; Landlordism of homes is crass ! . . SOLUTION ; [ NO AUL “DIALECTISM” AUL MULARKY SOLUTION EITHER ; JUST, *THE GOOD SENSE* SOLUTION ] . . B = BAN . BAN Landlordism of homes forthwith ! . . A = AMNESTY . AMNESTY for sincerely repented Landlords & their agents & other Landlording “cozy shop” acolytes [ incl. non-malign but heretofore “landording of homes” paradigm-entrenched practitioners 8-) ] ! . . G = GIVE . GIVE, immediately, nominal space from Public… Read more »
One for you Truthist
https://www.youtube.com/watch?v=DqUiUgr4B1g
This is what a “very nice” writer for New York Daily News” — Mr. Gersh Kuntzman — has said about the assassination of Russia’ Ambassador to Turkey ;
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What sayeth theuglytruth though ?
Would it rebuke what the New York Daily News says by putting it in proper context ?
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HEADLINE
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Turkish police arrest family of Russian ambassador’s killer
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Gersh Kuntzman
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NEW YORK DAILY NEWS
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Tuesday 20 Dec 2016, 10:43 AM
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http://www.nydailynews.com/news/world/don-cry-russia-slain-envoy-putin-lackey-article-1.2917281
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There are grounds to say that Berlin truck event was a “false flag” ;
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http://aanirfan.blogspot.com/2016/12/berlin-market-attack-false-flag-inside.html
Thank you very much for sharing, I learned a lot from your article. Very cool. Thanks. nimabi