Continued decline in apartment planning permissions
Commenting on the latest Central Statistics Office data on planning permissions, Director of Property Industry Ireland, Dr. David Duffy said: “Today’s data shows a slowdown in planning permissions across all home type. The slowdown is particularly driven by a decline in permissions for apartments, highlighting the significant viability and funding challenges to deliver this type of home.
Planning permissions for multi-development houses grew in the year by 14.2% compared to 2021. In contrast, planning permissions for apartments declined by 36.3% over the same period. Comparing Q4 2021 with Q4 2022 shows the extent to which apartment planning permissions have recently declined, down by 53.6%.
In 2022 apartments accounted for 30.7% of home completions, with scheme dwellings accounting for 50.8%. The slowdown in planning permissions for apartments could lead to a slowdown in the delivery of this home type over the coming years. If we are to meet Ireland’s housing need any shortfall will have to be offset by increased delivery of scheme housing. The upcoming guidelines on low-rise medium-density own-door homes could play a key role in this regard.
“Our planning system also needs to provide certainty through predictable timelines and must be resourced to meet the challenge of potentially providing up to 60,000 new homes a year. This does not include planning for commercial projects and vital infrastructure.”