Sign in. It’s quick, free and it’s up to you.
An account is an optional way to support the work we do. Find out more.
Updated: 11:50pm
FIANNA FÁIL HAS called for stronger tenant protections from vulture funds following news that dozens of families have been given notice to vacate their Dublin homes in the coming months.
The Sunday Business Post reported today that over 200 families renting in the Cruise Park area of Tyrrelstown could be evicted due to a deal between Goldman Sachs and indebted property developer Twinlite.
The paper said the notices were issued after Goldman Sachs purchased an €89 million loan from Ulster Bank that Twinlite had secured on the development – a sale the Irish company had unsuccessfully challenged in the High Court.
The report said a profit-sharing agreement subsequently signed by the two companies along with Davey Stockbrokers involved the sale of 208 houses in the estate.
However, Twinlite later said in a statement that the company for which it asset manages residential properties holds only 103 houses in the area.
A spokesperson for the company told TheJournal.ie that between 30 and 40 households have been informed that their leases will not be renewed because of plans to sell the property.
“That doesn’t mean they will be evicted. They will be allowed to stay if we don’t manage to sell the house,” the spokesperson said.
This is a process which will be undertaken over four to five years, so this year we expect to obtain sales of around 15 homes.
The spokesperson said the 15 houses will be sold to either families looking to live in the area or to another investor who wants to hold them for rental property, in which case the company expects the tenants to remain in situ.
Legislation
Earlier today, Minister for Transport Paschal Donohoe insisted that vulture funds must comply with the same rules as other landlords when it comes to evictions.
“Crucially, they are also subject in many cases to the jurisdiction of the financial ombudsman,” he said in an interview on Newstalk’s Sunday Show.
That change came in last summer, precisely in anticipation of a worry like this developing.
However, Fianna Fáil has criticised the regulations for being too soft on such funds.
The party’s finance spokesperson, Michael McGrath, said new regulations were needed to protect tenants and SME mortgage holders.
“We have already seen vulture funds use underhand tactics to trigger default on the part of borrowers in an attempt to gain control of very valuable assets,” he said.
McGrath said there was a risk that such action would be “stepped up once these funds feel that the political backdrop is more favourable for them”.
“Vulture funds who outsource the administration of loans still control key decisions such as initiating action for repossession or raising the interest rate that applies to the loan without actually being subject to regulation,” he said.
This leaves a dangerous gap in the legislation.
Local Sinn Féin councillor Paul Donnelly said many of the residents have been in their current accommodation for several years and are “terrified” about their futures.
He urged the companies involved in the deal not to evict anyone who cannot find alternative accommodation.
Fingal County Council and the Department of Social Protection should also set up a working group to assist all Twinlite tenants now at risk of homelessness, he said.
Assets
In a statement, Twinlite disputed reports that it had terminated the leases of 208 properties in Tyrrelstown.
The company said: “Twinlite acts as asset manager on a number of residential properties owned by European Property Fund plc, a company established in 2006.
“EPF plc is an investment vehicle set up to hold residential property. The company holds 103 houses in Tyrrelstown.
“EPF plc decided in late 2014 to exit the residential rental business, and Twinlite, acting as asset manager, put a plan in place to achieve this exit.
“This involves achieving vacant possession on a number of residential properties, prior to selling them, in order to generate the maximum value. As a privately owned company, achieving the maximum sale value of its assets is its primary focus.
“Achieving vacant possession is undertaken in a statutory manner and is governed by the residential tenancies act.
“Every element of the act and the regulations governing private residential tenancies was followed by Twinlite in this process and will continue to be.
“Goldman Sachs acts as lender to EPF plc and while it has consented to the sale of these properties, it does not have any control over either EPF plc or Twinlite, which are both private companies.”
Might as well just criminalise depression while you’re at it too.
@Jamie McCormack: You don’t think talking depressed people into committing suicide is wrong?
@Boutros Boutros-Ghali: Of course it is, I hadn’t made that connection though. Fair point.
@Jamie McCormack: You should try thinking, it’s great.
@Boutros Boutros-Ghali: easy to do when your not suffering from depression!
@Ashling Visser Bishop: All the more reason to criminalise those who would try to talk depressed people into committing suicide.
@Jamie McCormack: There’s quite big difference between tragically succumbing to your own depression, and taking somebody else, somebosy who is likely also very vulnerable, with yoym
How on earth is making a suicide pact a criminal offence going to help stop people from doing it?? If they genuinely want to prevent people from committing suicide then they need to understand what’s driving people to it in the first place and then provide support. FFS what they gonna do follow you to the other side with a court summons?!
@Alison O’Connor: I agree, it’s a stupid approach. What is life without quality of life? Maybe they have terrible palliative care or something? Loneliness if a wife or husband dies, maybe? Or it might be poverty that drives some to it? Yes, I’m certain they could do more for their citizens if they listened to them. But who the heck is going to confide in their nurses if they’re considering what’s been turned into a criminal act?
@Alison O’Connor: it’s cheaper than investing in mental health. Korea is an even lore neo liberal kip than Ireland is and culturaly they tend not to care about anyone not “economically viable”.
S Korean society is basically based on slave labour. There is so much pressure on young men in particular to study and become a “salary man”. They only have one day off a week and during the week it is from 6am to often 9pm. At the same time pretty young women are worshiped and envied by both men and women, at the same time women do not have military conscription. Not so pretty women take out loans for plastic surgery and then wait for a rich man to marry them. It is a pretty messed up place.
You seem to have everything understood about Korea ? Koreans have 2 days off…The pressure it high to study though, that’s clear, but they work from 9am to 6, sometimes later
@Séamus McCallion: ‘A pretty messed up place’ is a sweeping generalisation for a country of over 50 million. Korean society has its problems like most developed countries, a high suicide rate the one that grabs all the headlines, but it’s a wonderful country of wonderful hospital people. I lived there, and with Koreans, for almost a decade and know what I’m talking about. You clearly do not, however.
@davidMbyrne.com: ‘hospitable people’ even!
@Séamus McCallion: North korea is a lot better dispite all the media attacks.
He’s typing this from his mommy’s spare room. I live in Busan, I’m curious where he gets his made up thoughts on Korean society from. Maybe he was left broken hearted by a pretty Korean girl ?
Made up thoughts? No. I am friends with a Korean couple who tell it as it is.
@Stephen Kennedy: The west through the eyes of north korea. Youtube.
You should take a trip out of Ireland sometime to open your mind for yourself. It seems you don’t actually know anything about Korea.
A Korean couple who left Korea and are in Ireland, talking negative about the place :o Sounds like me talking about Ireland after a few pints
@davidMbyrne.com: good man Dave but left you forget everyone here knows everything better and our society is always correct
@davidMbyrne.com: your experience of a section korean life doesn’t make u an expert..a little knowledge and all that.
@Stephen Kennedy: Actually they live in Seoul right now. I agree there are many great things about Korea but for the average person life is very tough with no safety net whatsoever.
Sure it’s been an offense, here (actually wonder if it still is) that’s why we say such & such “committed” suicide, because was (or is) a offense.
@Censorship is modern day book burning:
So you would say John/Mary “committed” suicide instead of “is” (or “are”) suicide?
Is English your first language??
@Joe Phillips: Is it yours?
@Boutros Boutros-Ghali: evidently not
I’m living in Seoul at the moment. Suicide is a big problem as they don’t support those who suffer with depression! There are no / very few groups or charities that help with depression or suicide. Also, they have little to no support for the elderly – hence the high rate in that age group. Ireland is so far ahead in their acceptance of the illness and in trying to help those in need.
Suicide pacts are evil things and this may help the rate to fall but they really need to focus on the causes!!!!!
Correct, but in Korea you can be operated on within the first visit of GP, in Ireland you wait 4 years. Old age is a big problem here tho..I do agree
@Stephen Kennedy: Some aspects of life in South Korea are very good – I agree ! but it is such a superficial society! anything that may be seen as a weakness is bad! so sad
Night out in Itaewon sorts that out
@Stephen Kennedy: hahhah – that’s where I live :)
I’m dying to see how that’ll work out.
So why a picture of a shopping street in Seoul. You wouldn’t head an article on irish suicide with a tourist shot of Grafton Street…
Punishable by death…..
I had heard that South Korea’s setting out to boost their life expectancy rates to better than North America’s. Well, there goes South Park!
@Fiona Fitzgerald: all they have to do is wait. Longevity is in decline in the USA. 78 at the moment and dropping
Anyone caught organizing these will get the death penalty
punishment will be the death penalty
Theres a reason we work 9-5 because because 9-6 might kill a niga .
Dave chappelle
have your say