Please view www.chesterfieldblackrock.ie for further details on this magnificent new development.

Many thanks to all associated companies behind this success; Avenue Homes, Ican and Winston Marketing. We look forward to working with these dynamic companies in the future.

The Ivory Building, Dublin 2; Has proven popular by virtue of its convenient location and the reasonable prices being sought. Due to the successful launch last spring HT Meagher O'Reilly New Homes currently only have five apartments left. Haytonvale Properties Ltd, the developer in this instance, had set a goal of providing affordable accommodation with excellent specification levels in the heart of the city and the apartments have sold on this basis. Buyer profile has mainly been young professionals looking for a base in the city centre.

Details of these and all our developments can be found in the property section of the HT Meagher O'Reilly New Homes homepage.

2008 will be a year of market stabilisation with improved levels of purchaser confidence and greater realism in relation to vendor expectations returning to the market. 2007 was a difficult year for the Irish property market. Last year saw a dynamic shift within the Irish residential property market with increased uncertainty from buyers leading to longer purchasing decisions, ultimately leading to an over supply in the second hand and new homes market. The outlook for 2008 is more positive due to strong fundamental economic factors. Stability will return to the market once the current supply/ demand imbalance reaches equilibrium.

After ten years of growth within the industry, the sellers market has become a definite buyer’s one. Ireland’s economy has changed dramatically over the last decade. The mid 90’s saw a recession replaced by strong growth in Gross Domestic Product (GDP) per capita- which increased from one third below the European (EU) average in 1990 to 10% above in 2000. Over this time unemployment fell from 13.4% to 4.2%, direct taxes and income tax were reduced, mortgage interest rates fell and the mortgage market was liberalised. These economic factors combined with the demographic factor of increased population led to an increased demand for housing.

In the decade ending in 2006, Irish property prices surged rising by 270%, representing and annual increase of approximately 15%. The quantum leaps in value have led to a generally over priced and now over supplied market. The new homes market changed significantly in ‘07 seeing price corrections and discounts being offered by many developments. Residential property prices in Dublin reduced by approximately 10% in 2007 with the average Dublin house price currently at approximately €450,000. ? However, certain new homes developments in suburban locations have seen much greater reductions more in the region of 20-25%. This contrasts strongly with the rest of the country which fell by only 3.1%; a difference explained by higher house prices in Dublin and higher percentage growth in the previous boom decade. Couple this with a location where the greatest volume of building work was taking place, the outcome has been unaffordable houses in plentiful supply. These price reductions were triggered by a cumulative effect of: uncertainty over changes in stamp duty, an aggressive negative media commentary which lowered consumer confidence and the gradual raising of interest rates. The ECB have increased interest rates eight times in the last two years to the current rate of 4% which has had a huge impact on consumer confidence and property affordability. ? This erosion in confidence began in 2006 when pressure was put on the government to alter stamp duty rates which were only amended in December 2007, after significant price deflation had occurred.

The many issues that have negatively affected the Dublin market have been addressed in recent months and in turn should ensure market stability moving forward. Pressure to reform stamp duty has been addressed; we are unlikely to see further increases in the ECB base rate and certainty not at similar levels of increase. Vendors have been slow to react to the changing levels in demand but now a greater level of realism has returned to the second hand market with vendors cutting prices to generate sales. Rental levels have increased by over 10% since January 2007, which has been welcome news for the industry by attracting residential investors back into the market. This rise in the cost of renting has brought rents in line with the cost of purchasing. Historically the Irish have been a nation of home owners with home ownership rates much higher than across Europe.

Demographics and net migration are underlying factors determining developers’ output levels. Ireland’s high net migration and relatively young population has seen demand outstrip development for a number of years culminating in 2006’s record housing output of over 90,000 houses. ? Over supply of housing units in late ‘06 has put the market out of equilibrium. Output was dramatically reduced in ‘07 with estimated completions at 70,000 units (DOE). Government predictions indicate completions will fall further in ‘08 to approximately 50,000 homes (back to below 2003 levels), however it is a widely held belief across the property industry that completions will be significantly reduced to somewhere in the region of only 30,000 by year end. There is sustainable demand for 60,000 plus units per annum predicted over the next 10 years (IHBA) which will correct the current imbalance depending on levels of trade.

This year, the new homes market in particular will be spurred on in the way of add on products. Turn key units are likely to be provided at no extra cost combined with attractive financial packages, price discounts and other incentives as developers recognise the need to incentivise the market. New developments in Dublin aimed at the first time buyer will continue to be in demand in 2008 if they have access to good local public transport facilities and infrastructure, if they are within close proximity to the city centre and are affordably priced. The trade down market will also continue to be in demand. New up market developments such as Chesterfield in South County Dublin, are attracting strong demand from older buyers selling larger houses requiring high quality and excellently located properties.

The outlook for the Dublin residential property market is cautiously optimistic, as the over supply of residential properties clear and prices stabilise consumer confidence will increase. Ireland is still enjoying economic growth. The Irish population which continues to grow is very young with one in three under the age of 25. Overall, the factors supporting the Irish economy remain strong which should ensure a more encouraging market moving into 2008. The substantial reduction in supply, significant discounting, increased rent and improved certainty in relation to interest rates will see buyers returning to the market in ’08.

First Time Buyer

No Stamp Duty.

(Where there is more than one buyer, each of the buyers must be a first time buyer to qualify for the relief.)

Owner Occupier

Purchasers of new properties (for owner occupation) under 125sq.m. pay no stamp duty.

Purchasers of new properties (for owner occupation) over 125sqm pay stamp duty on either the site value (excluding VAT) or ¼ of the value of the house and site (excluding VAT) whichever is greater.

Investors

New houses or apartments (whether under or over a floor area of 125 sq. m) which are purchased by investors are charged to duty as per Table 1 or 2 below on the entire price paid (exclusive of VAT) for the house or apartment.

Rates of duty for deeds executed on or after 5 November 2007

Aggregate Consideration exceeds €127,000* Rate for Instruments executed on or after 5 th Nov 2007

First €125,000 -> Nil

Next €875,000 -> 7%

Excess over €1,000,000 -> 9%

Important Notice; These particulars are intended only as a guide. They do not form part of any offer or contract. We appreciate that any change in an issue as complicated as stamp duty causes confusion, for help please call the New Homes sales team 01 6342478.

Why Purchase Section 23 Type Tax Based Scheme?

• Section 23 relief is a commonly used term for rented residential relief.
• In general, section 23 relief is a tax relief that applies to rented residential property in a tax incentive area.
• It is available to a person who has incurred expenditure on the purchase, construction, conversion or refurbishment of a qualifying property and who lets that property, having complied with certain conditions.
• Relief for expenditure incurred can be set against the rent received from that property and other Irish rental income so that the amount of a person’s taxable income is reduced.
• Capital allowances and sectioned relief can lower an individual’s tax liability considerably.
• These valuable tax reliefs are being phased out and from the 31st July 2008 this type of relief can no longer be availed of.
• Section 23 relief has been the most successful relief ever introduced in this country.

The Royal Marine Section 23 Type Relief Vs. Other Section 23 Type Relief

• The main reason for the introduction of the Section based tax incentive schemes by the Government was to enhance and encourage
urban renewal in areas that had become desolate or dilapidated, and to encourage investment in remote areas.
• For this reason it is extremely rare for a scheme like the Royal Marine to become available in such a prime location.
• Fantastic potential for capital appreciation in such a prominent position.
• Accessibility:
  -200m to Dun Laoghaire DART station bringing you right into the heart of Dublin City Centre in.
  -The M50 is just 3 kilometres away, linking to the N11, and offering ease of access for people looking to the west, south and north of the city for employment and recreation.
  
• A Historic Hotel with a proven track record and fabulous facilities.

What is the best Tax Based Purchase?

• An investment that is a viable investment independent of the tax relief.
• Strong yields are a must for any investment; this applies for a tax based purchase.
• Guaranteed rental returns aid a purchaser’s peace of mind.
• A development that is close to transport links will always be agood seller, remember the day you buy is the day you sell.
• The availability of tenants is very important. It is essential to have tenants to realise a return on the property.

This year HT Meagher O’Reilly have secured over 100 sales in the Marrsfield development by Pierse Homes Ltd.

Exciting launches for September and October covering Sir John Rogersons Quay- Dublin 2, Sandymount Dublin 4, Clongriffin- Dublin13, Malahide and Dun Laoghaire, Co Dublin and Sallins- Co Kildare,

We are now moving to larger offices to accommodate an increase in staffing levels supporting new business. Our new address is 20-21 Upper Pembroke Street, Dublin 2. The phone no. will remain the same at 6342478.