Cllr. John Keogh, Chairperson of the Economic Development & Enterprise Support SPC, introduced the scheme. He stated the purpose of the scheme was to tackle dereliction and to encourage new businesses to occupy vacant premises. The scheme is expected to generate extra income which will be ring fenced for specific projects. Vacant properties must meet certain criteria to avail of a discounted rate – the premises must be available for letting, up for sale or undergoing renovation/remedial works. Cllr. Keogh showed his support for the scheme and proposed its adoption.

Director of Finance, Sean Mullarkey, delivered a presentation outlining the Rates on Vacant Properties Scheme outlining some key points:

• The objectives of the scheme are to tackle dereliction, encourage commercial activity, and generate additional revenue.
• The scheme targets properties that are unlikely to return to retail units.
• Although there is limited information available on the Vacant Above the Shop Grant of €140,000 per unit, it is expected that, alongside the introduction of rates on vacant properties, the scheme will encourage property owners to address vacant premises.
• He acknowledged that it would cost the Council to implement these new proposed rates, as they have historically been written off.
• He proposed the introduction of the scheme in 2027, using 2026 as a year to publish the scheme, share information on the changes which will be introduced and outline the options for property owners.
• Below is the proposed rate on vacant property for 2027

• Efforts from owners to sell or let the premises, or undergoing renovation will be taken into consideration for a rate wavier.

Cathaoirleach Cllr. Callaghan queried if a business that is closed but the owner or family is living in the house are liable under this scheme and highlighted the need to be sensitive in certain cases, in particular family businesses, where the owner may still be residing on the premises. He also queried whether it was a significant task to delist a property.

In response, Director of Finance Sean Mullarkey confirmed that where rates are payable on the premises, such properties would be liable for the vacancy charge. He emphasised that this scheme is an incentive to regenerate vacant premises and that it is not a significant task to delist a property.

Chief Executive, Shane Tiernan, remarked that it is possible for owners to have a property delisted through the process and it be reflected as a rejuvenated residential premises. It could also encourage the owners to rent out the retail aspect and continue to reside in the property. The scheme is to encourage action on the retail part which will be charged rates under the current system.

Members made the following observations and comments on the scheme:

• The scheme was welcomed, as dereliction can be seen in all towns and villages. Online shopping has had a major impact and left many retail units no longer viable.
• It was queried whether it would be more appropriate to defer the scheme’s implementation until 2028. Outlining that this would give further opportunity to circulate information and for property owners to secure grant aid.
• Members expressed concerns particularly where the properties consist of both a commercial and residential aspect.
• It was queried if a property becomes residential after being delisted and if the owner is required to apply for a change of use. Clarification from Planning was requested and suggested that these mixed units are exempt from the scheme for the moment.
• Suggestion from the SPC that the Local Enterprise Office would include supports and guidance for vacant property owners and expressions of hope that this will be included in the information circulated on the scheme in 2026 was discussed.
• It was suggested that the revenue generated to be ringfenced for specific projects to tackle dereliction and generate commercial activity in towns.

·        Acknowledgement that towns such as Elphin have benefited from the regeneration of derelict buildings and that the scheme could replicate this success countywide.

·        Recognition of the importance of commercial activity to the county’s economy.

·        Broad support for the scheme as a positive measure to address dereliction.

·        Concern was expressed for smaller towns and villages where demand for commercial units may be limited, noting that some premises may have heritage significance and that planning implications should be considered sensitively. A flexible approach was requested in such cases.

Director of Finance, Sean Mullarkey confirmed the proposed scheme will be introduced in 2027 as 2026 provides an opportunity to ascertain Planning requirements, fire standards, the Vacant Above the Shop Grant, identify vacant property owners, and provide information on the scheme and the options available.

Cllr. Holland expressed a conflict of interest and excused himself from the meeting while this item on the agenda is being discussed.

Cllr. Keogh suggested an amendment to the scheme, if required to ensure its approval, whereby owner?occupiers living in the premises would be exempt. He stated that this would affect very few cases and would still address the issue of dereliction.

Cllr. Fitzmaurice proposed a small amendment to the above stating that the owner-occupier living on as well as above the premises would be exempt.

Chief Executive, Shane Tiernan noted that in principle most Members were in agreement with the scheme. In relation to Cllr. Keogh’s proposal on an exemption for owner-occupier he believes the Council would be putting undue burden on an individual to prove they reside on the premises. He suggested adopting the scheme in principle. He also noted that planning will have to be looked at on a case-by-case basis. His main concern was to ensure the scheme was not rendered ineffective.

Cllr. Keogh withdrew his proposal on an exemption, and he agreed to proceed with the scheme but emphasised that discretion is to be applied in cases of owner-occupier.

Cllr. Fitzmaurice requested a commitment from Planning that property owners would not have to apply for a change of use in order to ensure no undue demands are placed on the owners.

Chief Executive, Shane Tiernan stated that many Members had requested action on tackling dereliction, which is where the scheme originated from. He outlined that the aim is to encourage business units, which are rateable and currently vacant, to consider a new business unit or convert into a private residence. He explained that individual cases can be looked at to ensure the scheme is not creating any undue burden on owners. He stressed that for the scheme to be effective, this is the approach that should be taken. He acknowledged the Members comments and concerns stating that the next 12 months will be available to finalise the details of the scheme.

On the PROPOSAL of Cllr. Keogh

             SECONDED by Cllr. Crosby

It was AGREED to adopt the Rates on Vacant Properties Scheme with discretion to be applied by the Director of Finance for owner-occupiers who can apply and demonstrate they live on the premises.