Latest news with #Citywest
RTÉ News
20-06-2025
- Business
- RTÉ News
High cost of IP housing 'not sustainable'
The Minister of State for Migration has acknowledged the high costs of providing accommodation for International Protection applicants and Ukrainian refugees, which he said was "neither sustainable nor acceptable in the long term". The State spent more than €401m on accommodation for International Protection applicants and Ukrainian refugees in the first three months of the year. That is according to new figures released by the former Department of Integration detailing its spending for the first quarter of 2025. In a statement, Minister Colm Brophy said the State had engaged in a series of actions to reduce these costs. He said this includes: "The purchase of State-owned facilities which will reduce costs and save the State 100s of millions in a relatively short period of time. "The renegotiation downwards of existing contracts with IPAS and Ukrainian accommodation providers. "The introduction of legislation this autumn will drastically shorten the length of time people stay in the system. This will reduce the overall costs of accommodation in the years ahead." The €401m figure is down on last year's quarterly spends on such accommodation, which ranged from €424m to €490m. Paying for private sector accommodation for refugees and asylum seekers made up 97% of the department's purchase order spends of €20,000 or more detailed in the Department report. While hundreds of providers are in receipt of Government payments, 91 were paid more than €1m in the first quarter of the year, and together the top five brought in €52.5m. Commenting on the figures, Nick Henderson, the CEO of the Irish Refugee Council, said it had always been concerned about money going straight to private providers. He said the Government's purchase of Citywest could be a step in the right direction and was likely to be better value for money for the taxpayer. The Citywest campus has been central to the Government's International Protection and Ukrainian refugee accommodation provision over the last number of years. However, Mr Henderson said this did not necessarily mean it would be a better-run facility. He said the IRC also had concerns that the border procedure, under the EU Migration and Asylum Pact, could be based in the future at Citywest. The IRC would also like to see an expansion of the remit of HIQA, which only has inspection powers for longer-term accommodation, expanded to include emergency accommodation.
RTÉ News
20-06-2025
- Business
- RTÉ News
What do State spending figures on refugee and asylum accommodation tell us?
The State spent more than €401 million on accommodation for International Protection applicants and Ukrainian refugees in the first three months of this year. That's according to new figures released by the former Department of Integration detailing its spending for the first quarter of 2025. It's an eye-watering amount of money but it is down on last year's quarterly spends on such accommodation, which ranged from €424m to €490m. Paying for private sector accommodation for refugees and asylum seekers made up 97% of the Department's purchase order spends of €20,000 or more detailed in the report. While hundreds of providers are in receipt of Government payments, 91 were paid more than €1m in the first quarter of this year, and together the top five brought in €52.5m. The Government has said it wants to move away from its reliance on the private and commercial sector when it comes to accommodating refugees and asylum seekers. To this end, the Minister for Justice announced this week that the Cabinet had signed off on his plan to buy Citywest, a campus that has been central to its International Protection and Ukrainian refugee accommodation provision over the last number of years. Jim O'Callaghan announced that the State would buy the hotel and convention centre for the sum of €148.2m, describing it as "value for money". Cape Wrath Hotel Unlimited operates Citywest and over the last couple of years it was the State's top earner when it came to these accommodation contracts. Last year it secured €70.86m in accommodation payments from the State, and it was at the top of the table once more in the first quarter of this year, getting paid €18.7m - almost double what the next best paid accommodation provider received. Mr O'Callaghan said that "purchasing Citywest makes prudent financial sense for the State compared to costs of leasing the site" however it appears that there will still be some invoices forthcoming even after the sale. According to the Department of Justice there will be a "a transition plan with the current service provider for a period of 12 months to ensure there is no disruption to the accommodation services at the site." A statement added that "the service provider will continue to oversee the management and provision of services including catering, cleaning, maintenance and security, resident check-in, operational support, finance and other services." The Department of Integration's quarterly purchase order report sheds some light on the current spend on additional Citywest expenses paid in January, February and March this year, including over €709,000 on security and €580,000 on meals. In total, in the first quarter of this year the State spent over €267m on accommodation and related costs for International Protection applicants and almost €133m for Ukrainian Beneficiaries of Temporary Protection. Separately the Department also spent almost €1.7m on modular accommodation for International Protection applicants in the first quarter of 2025. These figures are all inclusive of VAT. After Citywest operator Cape Wrath Hotel Unlimited, Mosney Holidays PLC, was the next best paid accommodation provider in the first three months of 2025. It was paid €9.7m for providing international protection accommodation at the former holiday resort in Co Meath. The third highest paid provider was Holiday Inn Dublin Airport, which was paid €8.5m. Over January, February and March, the report shows Travelodge Hotels, operated by Smorgs ROI Management Limited, were paid over €8m. However, in this period there were also payments amounting to €3.6m made directly to Tifco Ltd which runs Travelodge Hotels among others, and of almost €1.85m made to Pumkinspice Ltd, which also operates a Travelodge Hotel in Dublin City Centre. Rounding out the top five earners in the first quarter of 2025, East Coast Catering, which owns a number of hotels, was paid almost €7.5m. Last year saw a record number of people seeking Protection in Ireland, 18,561. However fewer asylum seekers are doing so this year. Last year 9,199 people had sought asylum in Ireland by 31 May, compared to 5,037 in the same period this year. But there's no denying that there a real demand for accommodation for asylum seekers. As of the 4 May this year there were 32,934 people, including 9,442 children, living in International Protection accommodation. For more than two years now most male asylum seekers who seek international protection in Ireland are not offered accommodation on arrival, with the Government citing an ongoing accommodation shortage. As of Monday, the Department of Justice said there were 2,987 asylum seekers awaiting an offer of accommodation by the State. Meanwhile, the number of Ukrainian refugees in State provided accommodation is down significantly from its peak of almost 60,000 at the end of 2023. Since then, the State has limited free accommodation provision for new arrivals to three months and has cut supports for those in hotel style accommodation. As of 1 June, there were 23,599 Ukrainian refugees in State provided accommodation.
Irish Times
19-06-2025
- Business
- Irish Times
State spent nearly €416m on asylum seeker and Ukrainian accommodation in early 2025
The State spent nearly €416 million on accommodation for asylum seekers and Ukrainian refugees during the first three months of 2025, according to the latest Government figures. Cape Wrath Hotel Unlimited, the company that runs Dublin's Citywest Hotel housing international protection applicants (IPAs) and Ukrainian refugees, received €18.7 million between January and March this year. Earlier this week, the Government announced plans to purchase Citywest Hotel for more than €148 million, with the intention of making it a permanent processing centre for IPAs. The move forms part of an objective to provide 14,000 State-owned beds for asylum seekers by 2028 rather than relying on private providers. The State has leased the 764-bed hotel and conference centre since 2020. It was initially used as a Covid-19 testing and vaccination centre before being converted to an accommodation and processing facility for asylum seekers and Ukrainian refugees in 2022. READ MORE It is understood the Citywest transit hub has been used most recently to accommodate arrested adult deportees before they are moved to prisons in advance of their departure from the State. Cape Wrath Hotel Unlimited received a €70.8 million in 2024 for housing IPAs and Ukrainian refugees at Citywest. The Government spent a total of €415.8 million on IPA and Ukrainian refugee accommodation during the first three months of this year. Some €269.5 million was spent on IPA accommodation, while €134.7 million went on Ukrainian refugee accommodation. As quarterly purchase order figures published by the Government do not include payments below €20,000 or reimbursements to local authorities providing accommodation, the total spend may be higher. [ 'This isn't about race or colour. This is about our community': Locals protest at sale of Citywest Hotel Opens in new window ] The Holiday Inn at Dublin Airport, which is run by the Tifco Hotel Group in Ireland, was paid €8.5 million for IPA accommodation and associated costs during the first three months of this year. Travelodge, also run by Tifco, was paid €8 million during the period, while Pumpkin Spice Limited, which runs Travelodge hotels, received €1.8 million. An additional €3.6 million was paid directly to Tifco Ltd, according to purchase order records. Mosney Holidays plc, which provides accommodation for between 500-600 IPAs and refugees at a former holiday resort in Co Meath, received €9.7 million between January and March. East Coast Catering Ireland, which has an address in Dundalk and lists Denis Williams and Matthew O'Callaghan as its directors, was paid €7.5 million. Brava Capital Ltd, the owners of purpose-built accommodation in Sligo, with a company registered in the Isle of Man, received €7.2 million. Total Experience Ltd, which provides accommodation services only for Ukrainians, was paid €6.76 million, while Roscommon-based Bridgestock Care Ltd, which runs asylum seeker accommodation centres in Sligo, Mayo, Donegal and Clare, also received €6.76 million. Kintrona Ltd, which has an address in Cork city and lists John Crean, David Kelly and Tony O'Neill as directors, was paid €6.2 million, while Allpro security services Ireland received €6 million. A 2024 Irish Times investigation found the former directors of Allpro Security Services, Conor Nolan and Alan Connolly, had been convicted of tax offences. Both men resigned as directors of the company in June 2022 but remain shareholders, each holding 50 per cent of the business. Brimwood Ltd, which is owned by former Monaghan GAA football manager Séamus 'Banty' McEnaney and his daughters Sarah and Laura, received €5.6 million during the first three months of the year. There are 32,704 IPAs, including 9,481 children, living in 328 State-provided accommodation centres across the country. Another 2,987 asylum-seeking men are awaiting an offer of State accommodation, according to the latest available data. An average of 28 asylum seekers arrived into Ireland each day in May 2025, nearly half the average of 54 people who arrived each day in May 2024. More than 114,700 Ukrainians have sought temporary protection in Ireland since the war with Russia began. However, the latest Central Statistics Office data indicates nearly 30 per cent of these have left the country.
Irish Times
18-06-2025
- Business
- Irish Times
Fully let Tallaght retail investment for €1.6m offers buyer 10.25% yield
Agent Cushman & Wakefield is guiding a price of €1.6 million for Fortunestown Shopping Centre, a fully let neighbourhood retail investment in Tallaght , southwest Dublin . Located 1.5km west of Tallaght town centre and 1.5km southeast of Citywest business campus, the investment comprises seven convenience-focused retail units with about 80 surface car-parking spaces, on a site of circa 1.29 acres (0.52 hectares). While the centre is anchored by a SuperValu outlet, this unit was sold on a long leasehold and is excluded from the current sale. The leaseholder continues to contribute to service charges and insurance, however. Fortunestown Shopping Centre's current tenant line-up includes national and international brands, including Hickeys Pharmacy and Ladbrokes, accounting for approximately 40 per cent of the current annual rental income of €180.560. The remaining units are occupied by long-standing local tenants, including a newsagent, a hair-and-beauty salon, a Chinese takeaway, chip shop and a delicatessen. The tenant covenants are underpinned by a weighted average unexpired lease term of 10 years to expiry and eight years to break. [ Rathcoole site with full planning for six industrial units seeks €6.55m Opens in new window ] [ Refurbished distribution warehouse in north Dublin available to let Opens in new window ] The €1.6 million guide price equates to a net initial yield of 10.25 per cent, assuming standard purchaser costs of 9.96 per cent. READ MORE Adam Ghee of Cushman & Wakefield says: 'Fortunestown Shopping Centre offers an opportunity to acquire an essential neighbourhood retail scheme in a densely populated residential area. With excellent lease terms, secure long-standing tenants and a strong local catchment, we expect strong interest from private investors, family offices and funds targeting stable, long-term income.'
Extra.ie
17-06-2025
- Politics
- 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.'
