Government expected to announce it will buy Citywest Hotel
The Government is to purchase the Citywest Hotel in Dublin which is currently being used to house international protection applicants.
Justice minister Jim O'Callaghan is expected to announce the details of the sale of the hotel this afternoon.
Citywest has been the subject of much controversy in recent years over its use as an IPAS centre.
Last week, protesters against the purchase of the hotel gathered outside Leinster House.
Independent TD Paul Gogarty visited the protest and said local residents had the "right to make a point".
Mr Gogarty said he supported local residents questioning why the Government was looking to purchase the hotel.
Recent figures revealed that Citywest received over €1.3m on average per week in 2024 for accommodating Ukrainians and International Protection (IP) applicants.
The data shows that the €68.27m (including vat) was paid out to Cape Wrath UC, which is owned by investment group Tetrarch Capital and runs the 764-bed Citywest Hotel and convention centre in Saggart, Co Dublin.
This represents a 27% increase on the €53.7m paid out to the hotel firm in 2023.
More to follow
Read More
Heated scenes as far-right councillors heckle Independent TD at Leinster House protest
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Extra.ie
15 minutes ago
- Extra.ie
Government to buy Citywest Hotel for €148.2 million
The Government has signed off on a €148.2 million deal to acquire the Citywest Hotel and Convention Centre in west Dublin, Justice Minister Jim O'Callaghan has announced. The facility, currently being used as a reception centre for asylum seekers and Ukrainian refugees, will be converted into a permanent State-owned screening centre for processing international protection applications. Mr O'Callaghan said the move is a more cost-effective long-term solution than continuing to lease facilities from private providers. 'Over a period of four years, we believe we'd be in the position where we would have got our money back in terms of the investment,' he said. Justice Minister Jim O'Callaghan. Pic: Leah Farrell/ 'Over a longer period of time, if you compare what we're spending in the private sector from the amount of money we'll be spending in terms of a state owned entity, over a period of about 25 years, we'll be looking at a saving of 1.25 billion (euro).' He added that the purchase supports the Government's programme commitment to secure 14,000 accommodation units for people seeking asylum. 'It would be far cheaper to own the facility in west Dublin instead of paying private providers for the services and accommodation,' he explained. 'It will be used as a screening centre where applications for asylum will be processed.' Pic: Colin Keegan/Collins Dublin While the Citywest facility will continue operating in its current capacity, O'Callaghan confirmed there are no immediate plans to expand its accommodation capacity. 'There are no 'immediate' plans to expand the number of places at Citywest,' he said. The announcement has sparked concern among local residents. Protesters from Saggart gathered outside Leinster House last week to oppose the purchase, citing fears over the loss of public access to the hotel complex and increased strain on local services. Minister of State Colm Brophy addressed the concerns, saying engagement with local representatives would be prioritised to ensure transparency and communication with the community. 'Very importantly, the purchase of Citywest will not result in any immediate increase in numbers,' he said. Pic: Colin Keegan, Collins Dublin 'The plan with Citywest is very simply, to develop the asset and make sure that we have the ability, particularly under the Migration Pact, to have a state-of-the-art processing facility whereby people's applications can be cleared within 13 weeks from when they arrive in the country.' Brophy said the decision was made on a strong financial rationale. 'The decision was being made on a 'value for money' basis and that if it is directly owned by the State, it can save around 50% of the operating costs.' He also defended the centre's current operation. 'Citywest has actually been working very effectively in terms of having an Ipas centre there, having Ukrainians also present, and having a range of services and facilities which have been working effectively and successfully for many, many years. 'We are not planning on changing those numbers.'
RTÉ News
an hour ago
- RTÉ News
Government hopes pace of housing announcements increases output
There may be no silver bullet to magically boost housing output, but the Government has certainly accelerated its own output on housing decisions. After a slow start, Minister for Housing James Browne has been making a raft of announcements in an effort to unblock problems and speed up delivery. There is no big bang, but the message now is on a constant flow of weekly actions. All this emphasises the pledge from Mr Browne that the housing crisis is an emergency and is being treated as one. Today brought three changes. Firstly, more powers and a broader remit for the Land Development Agency. Also, emergency legislation to quickly extend rent pressure zones nationwide. And the appointment of the former HSE boss Paul Reid to chair the new planning body, An Coimisiún Pleanála which replaces An Bord Pleanála. This comes on top of extensions to planning permissions, rental reforms, the establishment of the Housing Activation Office and the revised National Planning Framework. Also, there is a push to encourage local authorities to rezone much more land for housing. And there is more to come, with big announcements next month on the National Development Plan and a revamp of the current housing blueprint, Housing for All. In addition, it is clear that a downgrading of apartment standards is being examined to address the viability impasse. No surprise that the Opposition are underwhelmed with this spate of new measures. Social Democrats TD Jennifer Whitmore told the Dáil that the Government may be taking decisions, but she said they were "the wrong ones". Opposition parties have slammed the rental reforms with Sinn Féin leader Mary Lou McDonald labelling it the "Fianna Fáil rent hike bill". In particular, they have focused on the lack of protection for short-term renters like students who could face repeated rent hikes every time they move. For Mr Browne, it's clear that after a difficult start in the job, he seems to be on surer ground. But all acknowledge that any uptick in supply is some way off. What does success look like? Housing delivery takes years but before then, the direction of travel will be signalled by several strands of data. A Government source suggests that commencement figures are part of this, but they are not the only important piece of data. First up, ministers will be hoping to see a rise in planning permission applications, especially for large developments. Another important measure is how quickly these applications pass through the system. And if they end up in An Coimisiún Pleanála, how quickly are they dealt with. But trickier decisions loom, namely on potential tax breaks to stimulate private sector development. Builders have walked away from big projects citing the impossibility of delivering at a price buyers are willing to pay. Their solution is a tax incentive, perhaps on VAT. The political battlelines on such a measure are clear; Labour leader Ivana Bacik calling them "Bertienomics tax breaks". And there is already resistance within Government with Minster for Finance Paschal Donohoe publicly opposing them. Proponents of the measure in Government, claim these tax incentives would be different - narrowly drawn, time limited and targeted. Ministers know they will be a tough sell, but some believe they are necessary to deliver the big bang to scale up delivery.
The Irish Sun
an hour ago
- The Irish Sun
Govt green light €148.2m purchase of Dublin hotel & campus to house asylum seekers despite local's anger at move
THE Government has approved the purchase of the Citywest Hotel and Convention Centre for €148.2 million, the Justice Minister has said. Advertisement 2 Jim O'Callaghan said the move is 'value for money' in the long term Credit: PA He said it would be used as a screening centre where applications for Minister O'Callaghan added it was in line with the commitment in the programme for He said there are no 'immediate' plans to expand the number of places at Citywest, which is currently being used as a reception centre for asylum seekers and The Fianna Fail TD said: 'Over a period of four years, we believe we'd be in the position where we would have got our money back in terms of the investment. Advertisement READ MORE IN IRISH NEWS 'Over a longer period of time, if you compare what we're spending in the private sector from the amount of Locals from Saggart protested outside They raised concerns about losing the amenity of the hotel complex and about demand for services. Minister of State Colm Brophy said that local representatives would be engaged with so that the local community is informed. Advertisement Most read in The Irish Sun He said the decision was being made on a 'value for money' basis and that if it is directly owned by the State, it can save around 50 per cent of the operating costs. He said: 'Very importantly, the purchase of Citywest will not result in any immediate increase in numbers. Stark pictures show migrant 'tent city' weaving through roads outside Dublin asylum processing centre 'The plan with Citywest is very simply to develop the asset and make sure that we have the ability, particularly under the Migration Pact, to have a state-of-the-art processing facility whereby people's applications can be cleared within 13 weeks from when they arrive in the country.' He added: 'Citywest has actually been working very effectively in terms of having an Ipas centre there, having Ukrainians also present, and having a range of services and facilities which have been working effectively and successfully for many, many years. Advertisement 'We are not planning on changing those numbers.' 2 The purchase of the Citywest Hotel for €148.2million has been approved Credit:
