Fewer than 60 social houses have been made available through NAMA since the agency was established to acquire development and land loans three years ago. A list of 2,000 properties which would have been suitable for housing was eventually drawn up last December. However, when the agency went to acquire the properties from its debtors, 40 per cent were no longer available.
It had taken so long to establish the list of houses and apartments that many had already been sold or let or had been put out of reach by various legal processes, while others were deemed to be no longer suitable for use by local authorities.
A new specially established company, NAMA Asset Residential Property Services Ltd, has been incorporated to acquire properties. This company, which is known as a special purpose vehicle, will take possession of debtor properties it deems suitable.
The acquisition of properties will allow the debtor to reduce what it owes on its NAMA loan. The company then leases the property directly to the local authority or housing association. Just under 200 properties will be acquired by the company by the end of this year, of these 124 are in the greater Dublin area and 75 are in Cork.
A further 2,200 approximately have been identified and will gradually become available through the company once demand has been established with other local authorities or housing associations. Some of these may also become available before the end of the year.