Troy Studios 'windfall 'to be used to fund repair of vacant homes in Limerick

FUNDS from the repayment of a €6.5m loan relating to the purchase of Troy Studios in Castletroy will be used to help repair council housing across Limerick.

Back in 2016, Limerick Twenty Thirty, a subsidiary of the local authority, bought the former Dell factory with a loan which was approved by members.

Following this, Troy Studios moved onto the site, converting the building which was once used for computer assembly, to produce television shows and films.

The company was acquired by Hackman Capital Partners and Square Mile Capital Management last year and the facility was acquired by the new owners this summer.

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Limerick Twenty Thirty has, therefore, repaid the full €6.5m loan to the local authority.

At their bi-monthly council meeting, members approved plans to use this windfall to provide a much-needed upgrade to some of its housing stock.

The director of service in housing Caroline Curley outlined how funding had been sought from the Department of Housing for some projects. There was still a shortfall of €7m.

She outlined how the council hoped to use the repaid loan money to cover the vast majority of this cost.

In total, the council will bring 99 so-called ‘void’ properties back into use for new tenants – these are units which have been out of use for a period of time and need work to bring them back up to standard.

Some 79 vacant units are to be reinvigorated too, while 51 homes are set to get energy retrofits, which will no doubt help their tenants’ energy bills go further in the chilly months ahead.

In a briefing note to councillors, Ms Curley said: “This loan was taken out with preferential interest rates and in the current climate, guarantees the best rate in lieu of going to the market place for a new loan.”

Economic director Vincent Murray acknowledged the “brave” decision taken by councillors back in 2015.

“It was a big risk to take, but it showed the ambition the newly-amalgamated local authority had in bringing economic development to Limerick city and county,” he said.

The plan to repurpose the loan for housing was formally proposed by Cllr Kieran O’Hanlon, Fianna Fail, who said: “It’s money well invested, well spent.”

Fine Gael council leader, Cllr John Sheahan seconded.

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Mayor of the City and County of Limerick Cllr Francis Foley has welcomed the decision: “I’m delighted that my fellow councillors and the officials of the Council have taken the correct decision to help tackle the housing crisis. The prudent thing to do is to repurpose the loan into housing. The interest rate is very low and we would not be in a position to get the same rate if we went to the market now," he said.

“It is now incumbent on the officials to get that money working as soon as possible and refurbish these homes as demand for social housing is huge," he added.

A spokesperson for the local authority says work will begin immediately on the properties.