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Mayo gets the green light for first large-scale affordable housing project

By Charlotte Davis, Irish Independent

Mayo is set to welcome its first large-scale affordable housing project, as a 35-unit project has been given approval from the Department of Housing.

In a letter issued to Mayo County Council, the Department confirmed that €2.625m has been approved under the Affordable Housing Fund to support the development at Snugboro, Castlebar.

The affordable homes will form part of the wider 99-unit Heather View development in the county town, a project that represents an investment of more than €30m.

The 35 homes will comprise a mix of house types, including:

Six, two-bedroom end-of-terrace units

Eight, three-bedroom mid-terrace units

11, three-bedroom end of terrace units

Six, three-bedroom semi-detached units

Under the Affordable Housing Fund, the homes will be advertised at a minimum of 15pc below the current open market value.

When plans for the development were first announced, prices were estimated to range between €260,000 and €300,000.

Construction is currently progressing, with the completion date for the units expected to be in late 2026 or early 2027.

Under the Affordable Purchase Scheme, local authorities can offer new homes at a reduced price to first-time buyers and other eligible purchasers who cannot afford to buy on the open market.

In return, the local authority takes an equity share in the property, equal to the difference between its open market value and the reduced purchase price paid by the buyer.

Minister of State Alan Dillon announced confirmation of the affordable units, describing the move as a “major milestone in delivering long-sought affordable home ownership options for families across Mayo.”

Calling it a “significant day for Castlebar and for Mayo”, Minister Dillon said he had been working closely with Mayo County Council, the Department of Housing and property developers Sayvale Homes to advance the project.

“Today’s approval is the direct result of that sustained collaboration,” he said.

The Castlebar-based Minister said the new homes would provide a vital opportunity for young families and first-time buyers to get on the property ladder.

“The Snugboro scheme strengthens Castlebar’s housing supply, supports the local construction sector and underpins long-term economic growth,

“Castlebar is growing, and demand for affordable, secure home ownership is stronger than ever,” Minister Dillon said.

The need for more affordable housing options has been raised across multiple council meetings over the past number of months.

Elected members have pointed to a growing cohort of working people who earn too much to qualify for social housing but remain priced out of the open market, with rising living costs leaving little opportunity to save for a mortgage.

Most recently, councillors at the Castlebar Municipal District meeting discussed the inclusion of additional affordable units in an upcoming 64-unit social housing development at Lawn Road.

Cllr Donna Sheridan welcomed the development but said the council “needs to start including affordable housing in all of our developments” to address what she described as a “major gap” in provision for working people.

Minister Dillon has pledged to continue working with the local authority, the Department and housing developers like Sayvale to “maintain momentum and secure further housing investment across Mayo”.

Elsewhere in the county, Mayo County Council is seeking expressions of interest from contractors and developers for additional affordable housing schemes in Ballina, Westport and Castlebar.

The local authority is also seeking Departmental approval for an Affordable Housing Scheme in Claremorris.

Minister Dillon paid tribute to Mayo County Council and Sayvale Limited for their proactive engagement throughout the process.

“I want to sincerely thank Mayo County Council, particularly the Housing team, Tom Gilligan and Oliva Gallagher, for their professionalism, persistence, and commitment to ensuring this project met all AHF requirements. Their detailed work in preparing the submission was absolutely essential.”

He further acknowledged the strong role played by the project developer: “I also want to thank Sayvale Ltd, led by Austin Currie and Tom Corrigan, for their constructive partnership and for their growing investment in Castlebar,

“Their decision to expand operations into Mayo and establish a local office reflects real confidence in this county’s future.”