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ISRAEL’S INTERIOR minister gave final authorisation to build 1,600 apartments in disputed east Jerusalem and will approve 2,700 more in days, officials said today, detailing a plan that could complicate diplomatic efforts to dissuade Palestinians from declaring statehood at the UN.
The announcement drew immediate criticism from the Palestinians, and from Israel’s leading anti-settlement group, which accused the government of seizing on mass protests over housing costs to give economic justification to the always explosive issue of building in the holy city.
Prime Minister Benjamin Netanyahu’s office knew the construction plans were moving ahead, Interior Ministry spokesman Roi Lachmanovich said. An earlier approval for the 1,600-apartment project embarrassed Netanyahu and caused a diplomatic rift with the U.S. because it coincided with a visit to Israel by US Vice President Joe Biden.
Palestinians oppose all Israeli construction in east Jerusalem because it chips away at their hopes to establish the capital of a future state in the holy city. The approval for the new apartments also could create new problems for Washington, which is trying to persuade the Palestinians to abandon their statehood bid and enter into negotiations with Israel instead.
Senior Palestinian official Saeb Erekat accused Israel of favouring settlements over peace.
“We call upon the US administration to support our endeavour at the UN because the only way to preserve the two-state solution now is the admittance of the state of Palestine,” he said.
Lachmanovich, the ministry spokesman, said the new apartments were necessary to address a housing shortage in the city. ”There’s always something pending,” he said, when asked about the timing of the approvals.
Actual construction likely will not begin for years because building plans will have to go through multiple approval processes.
The Peace Now anti-settlement group accused the government of “cynically” exploiting a sweeping grassroots uprising sparked by high housing prices to cement its plans to build new apartments in Jerusalem’s contested eastern sector.
It was also unlikely to win much favor with Israel’s closest ally, the United States, which opposes the Palestinians’ statehood bid and, like Israel, says negotiations on Jerusalem and other core issues are the only way forward.
Jerusalem’s fate “needs to be negotiated between the two parties,” said US Embassy spokesman Kurt Hoyer. “Unilateral actions on either side that appear to prejudice the outcome of those negotiations we find counterproductive.”
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On Tuesday, Washington rebuked Israel for advancing separate plans to build 930 apartments in another neighbourhood of east Jerusalem.
No negotiation
The Palestinians refuse to negotiate with the Netanyahu government as long as it continues to build in the West Bank and east Jerusalem — territories that would form the core of their future independent state.
Israel rejects that demand, arguing that previous rounds of talks moved ahead in tandem with settlement construction.
Israel annexed east Jerusalem in 1967 after capturing it from Jordan. It does not consider the Jewish neighbourhoods it has built there to be settlements even though the international community makes no such distinction and does not recognise Jerusalem’s annexation.
About 500,000 Jews have made their homes in east Jerusalem and the West Bank since 1967. Adding to the potential for political tension is the Palestinians’ plan for even a symbolic endorsement of statehood by the United Nations.
At home, they are trying to whip up enthusiasm through a series of mass rallies. But after two bloody uprisings against Israel, the Palestinians have little appetite for a third, and officials drafted a plan to keep the rallies peaceful, they said Wednesday.
Under the plan shown to The Associated Press, marches and rallies inside West Bank cities are permitted, but the gatherings will be confined to city limits. Demonstrators will be kept away from flashpoints like Israeli settlements and military checkpoints. Palestinian police would ring West Bank cities to keep protesters far from Israelis.
Hamas
A wild card in the deck is Gaza, which is run by the Islamic militant Hamas group. The group is disdainful of the statehood plan to be implemented at the UN and will likely not organise protests to support it. But if violence erupts in the West Bank, Gaza could be expected to follow.
Israeli officials disagree over what might happen in September.
One government-commissioned study said the rallies will likely be peaceful, but Foreign Minister Avigdor Lieberman has predicted “unprecedented violence.”
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@Eoin O’Neill: Large estates made up entirally of social / state housing have practically never worked out successfully. Mixed communites work the best.
@Shane Corry: I’m not saying 100 state housing, just think the 10/30/60 ratio is not the best. The social aspect should be higher and the 30 for affordable should be higher. Then for viability throw a percentage for some private.
@Eoin O’Neill: It does seem a bit low but it’s not totally off. 15/35/50 or maybe 15/40/45 with a lower 10% social being used within central city / cbd areas I think would be the best use of the land. Even having 20-25% social housing has been previously proven to lower overall quality-of-life and increase segregation based on income levels within communities
@Shane Corry: I think the main thing is the affordable element needs to higher than 30% and as long as the developer cannot buy out the social ratio like in the boom days should be a good start.
@Eoin O’Neill: Where do you think the money comes from to build the social housing? No that’s incorrect, it’s not the Money Tree aka the tax payer.. The money comes from the profit from the private housing. Smoke that for a while.
@Gareth Cooney: So what if tax is derived from private profit? Isnt that the purpose of the socio-capitalist model? Companies and individuals can make profit but they must also serve the greater public good through the funding of infrastructure and services which comes as a result of tax… But why is that relevant to a public office handing over public land to private ownership in return for small concessions? Could the government not see it as an investment opportunity and borrow finance themselves? Or alternatively introduce emergency legislation to retain NAMA owned land/property? Or invoke CPO’s? Ive smoked on that and still cant see how your comment is helpful in the context of the sickening housing crisis were currently experiencing.
So the state owned land will be sold off to developers and the government will profit. The developers will build these houses and make a profit. The banks will profit from the sky high mortgages that the squeezed middle pay for them. The government will also further profit through all the various taxes that goes into houses. All these house will be built by 2020 by builders who we have a shortage of. What a country
@Simon Carroll: you’re right it will not be affordable to all, however,a look at Daft shows there 720 houses (not apartments) for sale under 300,000 in Co. Dublin. If you dont earn enough to buy the house you want then cut your cloth to suit and find a house that is affordable. There is choice out there if people are willing to lower their expectations slighlty.
@Caped Crusader: 100%, my first property was a one bed apartment in an area that I did not really want because it was a big journey to work.but I bought it anyway because it was all I could afford.this is lost on people these days.
@Caped Crusader: I moved to in balbriggan so I’ve made that choice, I’m just concerned that the government haven’t even taken into account mortgage application rules and say a €320k house is “affordable” on 50k or 75k a year unless you’ve a €150k deposit ha
@Simon Carroll: The reason that the mortgage caps are in place is due to a significant spate of defaults and renegotiated deals in the last crash. And yes it is unfortunate those not earning enough may not be able to afford one of these new “affordable houses” but such is life. It is a Dublin Centric problem though as affordable houses will be cheaper in other cities. Market rates for building now dictates that without land, the build price is in the €1,500 per m2 range, an avg 3 bed semi is 125m2, it is costing nearly €175k to build a run of the mill semi D so it is easy to see why they cannot be sold for much less then €320k
@Caped Crusader: I’m not arguing that at all, what I am saying is they can not even do simple math, How can they say they are targeted at the €50-€75k earners if the rules keep those earners from affording them. How do rhey think that earner bracket can afford them. I’m not arguing that the rules need changing or that some people can’t afford then I’m asking how or why they think the target earners can afford them if the numbers don’t add up. That’s a pretty basic but of research they obviously either didn’t consider or don’t actually know about
@John: Where did I say anything close to that? I questioned the numbers that is all, I’m not saying they should be cheaper or mortgage rules shouldn’t apply, I asked how they can say it’s targeted at €50-€75k earners at €320k if someone on 75k can only borrow €260k?
@Simon Carroll: These can go up to €320K under the new government-backed mortgages scheme launched earlier this year. It circumvents the standard 3.5 times salary rule and allows for a person / couple earning up to those values to take out a mortgage of up to €250K/€320K with low interest rates.
“The new scheme however allows buyers to sidestep this rule, by offering mortgages on the ability to service their debt. Local authorities are able to do this because, as unregulated financial providers, they are not subject to Central Bank rules.
For example, a single person on a salary of € 40,000 will be able to borrow up to €198,000 (ie 5 times income), as with repayments of €858 a month, their mortgage would account for 33 per cent of disposable income. Aa couple on € 75,000 can borrow € 288,000 in Dublin – ie multiple of 4.1 per cent”
@Shane Corry: Thanks Shane. That would have been handy in this article too. I may be wrong but wasn’t a similar rule introduce years ago about all New developments needing a minimum of 10% affordable to be included or else the developers can opt to pay a “fine” which they almost always did and recouped it through hiking starting pricing to cover it, hopefully no such options in these developments and future ones.
@Caped Crusader: really? €92k a year required to get a mortgage for affordable housing should just be accepted? That’s reassuring to native Dublin folk. How about at least getting broadband to the rest of the country so some actual jobs exist outside two cities so people genuinely have options. Good to see Fine Gael put their cards on the table though. People can make up their minds.
Looks like they are setting up the equivolent of the HSE but for housing. That way the Minister can blame the LDA and avoid having any accountability for his poor performance the same way the Minister for Health always points the finger at the HSE.
Looking forward to the opposition politicians all objecting to any new housing in their constituencies while at the same time continuing to complain no houses are being built
@Ian McNally: maybe you should remember that FG passed an almost identical act in 2010 which has been an almost complete failure. This is neo-liberal nonsense which will work no better.
This is the Agency that should have been established years ago to cut those NAMA bargain-priced development site deals instead of it happening with the US Vulture Funds.
@Finbarr Lucey: Aw well if you’ve said it before then I’ll believe you. Do you also propose leaving the gates closed to Irish immigrants who wish to come home?
Only time will tell whether this is just another crock of poo poo, like all the previous efforts.
In the meantime they can keep referring to it while limping through the next election.
Dundrum CMH site
PRIVATE
1,500 homes, of which 50% (or 60%) will be fully private right from the start. It seems these will be built by a private developer and sold at market prices. Given the location of the site it is safe to assume that they will be extremely expensive luxury homes that will be beyond the reach of low and middle income families from the area.
So that’s 50% – 60% of the housing gone to wealthy owner-occupiers or private landlords (including REITs presumably).
SOCIAL
10% of the homes will be ‘social’ housing. This is exactly the same percentage as the local authority is entitled to buy in every private development in the state. Under the current social housing system the tenants of these homes will likely be able to buy these homes from the local authority at a discount. So some, or all, of the 10% will also eventually make their way into the private market.
So there’s nothing new in the ‘social housing’ element of the scheme. It will do nothing for the thousands upon thousands of local people who don’t qualify for social housing or for people who aren’t near the top of the list.
AFFORDABLE
So that’s accounts for 60% – 70% of the new homes, leaving 30% – 40% for an ‘affordable’ housing scheme. And this is where the smoke and mirrors really kick in.
It appears at this stage that the houses will be made ‘affordable’ by the state giving public land to a private developer who will then build private, social and affordable housing on it.
The houses will be made affordable by removing the value of the site from the cost of the house and possibly by additional subsidies by the state to the developer or future home owner.
In other words the state will use YOUR land and money to build cheap houses for someone else to buy. The new homeowner will then have to wait a relatively short period of time (probably 20 years) for the ‘clawback’ penalty to pass. And then it’s theirs to flip for a super profit or rent out to some other poor schmuck.
Who exactly will be able to qualify for the ‘affordable’ schemes has yet to be announced, but not matter what the conditions it’s a really bad deal for the taxpayer and for our wider community. The ‘lucky few’ will get a cheaper home and that’s about it.
90%+ PRIVATE – 100% A BAD DEAL
So to summarise, the Fine Gael plan will see at least 90% of the proposed 1,500 homes in private ownership (50% – 60% immediately, with the rest to follow over the next 20 years or so.)
The private developer will make a killing; the private banks funding the mortgages will make a killing; the estate agents will make a killing; the landlords will make a killing.
The pool of affordable housing in Rathdown will be about the same as it is now and the last big chunk of public land in Dundrum will be gone.
The Fine Gael plan for the Central Mental Hospital site fundamentally misses the nature of the housing problem in Rathdown.
95% of all of the existing housing stock is already owned by private owner-occupiers and private landlords. Just 5% of the housing stock (the social housing units) is truly affordable.
So unless we have another housing collpase, 95% of the housing in Rathdown will stay beyond the reach of low AND middle income households. Way beyond.
We don’t need any more private housing in the area. What we need is a much bigger pool of PERMANENTLY affordable housing and there is only one way to get that.
The alternative to the Fine Gael plan is really simple – it’s called Universal Public Housing.
The state builds high quality housing on public land, and then rents that housing at an affordable rate (about 25% of the disposable income of the tenant) to people on all incomes who are in need of a home.
So the local authority gets a steady, significant rental income from a mixed income community – as opposed to the current model of ‘social’ housing where the local authority gets a very small rental income from a community that is exclusively low income. It makes sense economically and socially.
Universal Public Housing would be open to teachers, shop workers, hairdressers, IT specialists, nurses, cleaners, accountants, administrators, the unemployed and everybody else that is need of a home.
And Universal Public Housing stays in permanent public ownership, so it benefits not just the ‘lucky few’ in this generations, but the ‘lucky many’ for many generations to come.
The city of Vienna is built upon Universal Public Housing. It’s the cornerstone of all housing policy and it works really, really well.
Instead of throwing the Central Mental Hospital site into the chaos of the market, why can’t we use it as a flagship for a new form of intelligent sustainable univeral public housing that will actually benefit the local community?
That’s what we’ll be fighting for. We hope you’ll join us.
@Shane Zerbe:
Great idea!!!!!!! Also lets create a state agency that will provide us all with speedy access to amazing top quality health care. Lets call it the HSE and allow it take over the management of all our hospitals and transform them into centers of excellence open to all citizens.
Not so much. Just because it works in your imagination doesn’t mean it’ll work well in reality. Over half the population shell out vasts sums of money in health insurance in addition to paying taxes because the HSE, despite generous funding, is incapable of providing anything approaching decent levels of healthcare. Our water system is in ruins. Our transport infrastructure is a joke. All this despite the vast amount we hand over in taxes each yr. Yeah sure let the state be in charge of providing everyone with top quality homes, i’m sure it’ll work out just like in your imagination!
@Damon16: it works in Vienna funnily enough, 60% of people living there are housed in this model. It frequently ranks as the worlds best city to live in. But we should write it off because of the morons running the show here?
@Shane Zerbe: good idea , should not be dismissed. I would suggest a more fundamental change is needed like German Constitution .. right to build and “property” rights inferior to person rights … not perfect but necessary to establish a proper legal framework that can then deliver a stable, workable, sane, fair housing market for the longterm.
This is more of it…ministerial and governmental b.s. Theses houses will never be built. I’ll believe it when I see it. At best,its a cover up scheme to enrich Fine Gael backers who are also builders.
These jaded roll out excuses of ” jam tomorrow” schemes by this minister and this government ( I have no political allegiances) fool nobody.
It makes it looks like some action on the lack of housing is being taken by the government but ,the reality is that very little is happening ; and what is happening is far far too little to have any meaningful impact. I believe there is a building ( pun intended) social backlash tsunami coming down the road the likes of which will surprise many in government and will not show up in anyPoll.
Spin Doctors..don’t make me laugh !!
The 60% for private is so the builders will build it, they are hardly gonna build for free, also they jack up the prices for the private buyers to subsidize the rest of the build.finally is it only social/affordable people need to be catered for or do the rest of us just have to fend for ourselves.
More buying time pussyfooting around by government, dwelling s are needed this year ,build dwellings high rise,log cabins, container s mobile homes, do something ,cheap simple and fast,instead of building house out of paperwork.
@Brian harris: Dyke Road lands in Galway are on a Flood Plain. While a large lump of Station lands are already sold to a developer, and at the Harbour? Well, due diligence to advise on the transfer of lands to the City Council, was first sought by councilor’s 4 years ago, yet today we still have no sign of any report! So no homes, just more offices!
There is absolutely no excuse for our current housing crisis it is purely down to poor policy and to be honest deliberate attempt to rise property prices
Nama was the biggest thief on the Irish people ever
And every sale should be investigated
There are so many real affordable alternative solutions
Such as
Unfortunately social housing is generally built in a poorer socio-economic area. Builders build 60% in higher socio-economic areas. This results in an imbalance and social problems further down the line. It’s always about the money when it comes to land and housing it’s never about the public’s best interests. A mixed social housing would create better social development less crime and less social divisions.
@Antoinette Victory: of course it’s about the money,when you can build two houses in one area vs one house in another it makes sense. This is the problem people don’t just want an affordable house they want it in a fancy area as well.and also would you feel a bit annoyed if someone received twice or three time more than you for doing the same job,that’s how people would feel if they paid 5/600 k for a house and someone moved in next door for 175k.
1)So 150,000 houses to be built in 20 years during which time CSO estimates that our population will grow by 1.85M in 33 years so total housing stock will still be significantly less than demand!
Growth of 1.85M over 33 years is average population growth of 56,060 a year!
2)Why are affordable and social housing only 40% of the total especially considering not just because of great demand for both but fact that’s it’s public land!?
3)In 2014 LAs have over 26,000 hectares of zoned land with potential to build over 600,000 dwellings…..where’s the rest of that land?
From 2011-2016 total housing stock increased by just 0.4% ie 8,800 so very little built and in 2015 just 75 social housing built.So what has happened that substantial zoned land?
4)Will this new quango acquire land NAMA has?
Don’t know where the dates on the construction on the CMH site is gathered from. The new CMH in Portrane won’t be ready until 2020 at the very earliest (with the possibility of years of delays). So there is no way construction of houses will begin on the current site next year. Pie in the sky.
If you want it to stop then stop voting for them. Why should developers get 60% of public land to make massive profits for themselves. The Irish really are a nation of shit takers
Former NAMA cfo in charge. So more Isle of Mann bank accounts? This is a sick joke. Just signal that the government wants prices to go down. Enough agencies act on government policy
A. Planning & Development Acts or materially contraventing statutory Development Plans/LAPs
B. Compling, submitting and validating SID Applications that comply with ‘A’ above.
C. Compiling and submitting CPO Applications that are constitutionally compliant while complying with ‘A’ & ‘B’ above
D. Environmental Impact Appraisal Reports – or halfarse attempts to compile same for inclusion with ‘B’ & ‘C’
E. Each potential application (SID/CPO) or material contravention or public consultation being fully opened to full Judicial Review
F. EU environment law Legislation in the ROI
G. Aarhus Convention
H. The AIE Regulations
(I won’t break down the requirements on Public Procurement Procedures or disposal of a interest in state assets acquired compulsorily for the common good….)
There is curently no state agency or state body delivering development projects quickly due to A – H !!!! The ones that did were sold off and the Irish media hardly reported the misserable price accepted for well preforming public assets.
It currently very difficult for well financed private individuals/corporations who have motivated and incentivised employees (free from political interference) to get development consents and start building…..
Young Eoghan Robert Murphy needs to start looking for a job in Europe – maybe in the European Environment Agency – all the hot air.
No legislation published yet for the agency…..
No details of the corporate structure……
No details of where they will be based ……
Just who will be on the Board…..
So we are supposed to think this is a great initiative.A plan over the next twenty years that’s great.so by 13/9/2019 the first 7500 houses will be completed and by 13/9/2020 another 7500 or will it be none for the first 2 or 3 or 5 years and then it will be 10000 a year or even every 6 months?By which time none of you will be in government so it won’t matter anyway.Will you ever just do something to fix the problem now and forget this spin to make you lot look good.
The frightening thing is that the public in general will fall for your empty promises again.
I despair for the people who just want to put a roof over their heads and raise a family which is almost impossible thanks to successive governments.In the 80 s and 90 s it was just given that anyone who was working could but a home.
State land to be privatised for developers.
The state will not build social housing (apart from a token amount) because the property prices and rental bubble is dependent on a shortage. The shortage has ben deliberately manufactured and will be maintained.
The SWP/People Before Profit, the Socialist Party and Sinn Fein are only too aware that the state will not build. The role of Sinn Fein and the phoney lefts is to make a lot of noise and heat; but stop a militant political campaign to demand housing. The classic deceit of the so-called radicals. Huff and puff; but change nothing.
@PV Nevin: And if you think that the SWP etc led the water protests then you are mistaken. They pushed themselves in front of the anti-water charges groundswell. The government made a tactical retreat not because of Boyd-Barret and Murphy but because they feared the SWP et al could no longer control the mass movement against water charges and privatisation.
The state fears above all a political movement around social demands turning into an overall mass movement for socialism. A movement that the phoney lefts cannot control.
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Deliver and present advertising and content 96 partners can use this special purpose
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Certain information (like an IP address or device capabilities) is used to ensure the technical compatibility of the content or advertising, and to facilitate the transmission of the content or ad to your device.
Match and combine data from other data sources 68 partners can use this feature
Always Active
Information about your activity on this service may be matched and combined with other information relating to you and originating from various sources (for instance your activity on a separate online service, your use of a loyalty card in-store, or your answers to a survey), in support of the purposes explained in this notice.
Link different devices 50 partners can use this feature
Always Active
In support of the purposes explained in this notice, your device might be considered as likely linked to other devices that belong to you or your household (for instance because you are logged in to the same service on both your phone and your computer, or because you may use the same Internet connection on both devices).
Identify devices based on information transmitted automatically 84 partners can use this feature
Always Active
Your device might be distinguished from other devices based on information it automatically sends when accessing the Internet (for instance, the IP address of your Internet connection or the type of browser you are using) in support of the purposes exposed in this notice.
Save and communicate privacy choices 64 partners can use this special purpose
Always Active
The choices you make regarding the purposes and entities listed in this notice are saved and made available to those entities in the form of digital signals (such as a string of characters). This is necessary in order to enable both this service and those entities to respect such choices.
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