Alliance Building, The Gasworks, Dublin - Receivership/renting question

Breezer

I've been looking at renting an apartment in this development, but just read in today's Irish Times that the entire complex is being sold, as it's in receivership (it was one of the infamous Liam Carroll's developments). All lettings are currently through the receiver (or an agent acting on the receiver's behalf, basically it's not a privately owned apartment that's being let by a landlord).

Two questions really:

1) Would I be mad to rent here? Am I risking being turfed out halfway through the year?

2) Given the situation described in the article, should I be demanding a substantial reduction on the asking price? I've managed to squeeze about €50 per month out of the letting agent, but that doesn't seem like much.

Knasher

In answer to your first question. You should be fine as the place is being sold as a single investment and therefore whomever buys would be doing so to rent the apartments out. Additionally if you get a fixed lease for a year, you cannot be asked to leave for that year unless you are violating the terms of the lease.

In sort the fact it is being sold would only give me pause if it looks like the place is also being neglected.

Breezer

Knasher wrote: »

In answer to your first question. You should be fine as the place is being sold as a single investment and therefore whomever buys would be doing so to rent the apartments out. Additionally if you get a fixed lease for a year, you cannot be asked to leave for that year unless you are violating the terms of the lease.

In sort the fact it is being sold would only give me pause if it looks like the place is also being neglected.

Cheers.

No, it looks extremely well maintained.

I'd just be afraid whoever buys would be looking to sell the apartments, though that's hardly likely in this market. There was also talk of operating it as a hotel but again unlikely. As long as I have legal protection for the year I'd be happy.

Treehouse72

The Irish Times piece says the average rent is €1300 for a 2 bed. I wouldn't pay more than that. Show the article to the EA if needs be.

And I highly doubt you'll be turfed out of your lease. The sale process probably won't move that quickly, and besides whoever buys this will be looking to rent the units out rather than sell them, so they'd have no reason to remove sitting tenants.

Victor

In such a situation, you should consider who is holding your deposit and the likelyhood of getting it back.

mcmorrowg

Knashers comment about the landlord not being able to kick you out once you have a years lease is incorrect. the Landlord has a number of options to remove a tenant and they are all detailed in the "Residential Tenancies act 2004" The Main details are below.
I do think in this case the new landlord will be happy with the tenants in situ and not look to evict anyone. The deposit will be fine as you are not paying it to Liam Carrols company but the receiver/Ulsterbank.



Your landlord must always give you notice when asking you to leave. (Read more under 'Notice periods' and 'Notice of termination', below.) Landlords can ask tenants to leave without giving a reason during the first six months of a tenancy. Landlords can terminate a tenancy that has lasted between six months and four years (a Part 4 tenancy) only in the following circumstances:

• After 3 and ½ years
• If the tenant does not comply with the obligations of the tenancy
• If the property is no longer suited to the tenants’ needs (e.g. overcrowded)
• If the landlord needs the property for him/herself or for an immediate family member
• If the landlord intends to sell the property
• If the landlord intends to refurbish the property
• If the landlord plans to change the business use of the property (e.g. turn it into offices).

You should note that if your landlord evicts you for a specific reason and subsequently does not carry out the intention (e.g. to live there him/herself) you can report him/her to the Private Residential Tenancies Board (PRTB). The PRTB will investigate your claim and take further action as appropriate.
Notice periods
The length of notice depends on the length of the tenancy.
Length of tenancy
Notice by landlord
Less than 6 months 4 weeks (28 days)
6 months to a year 5 weeks (35 days)
1 – 2 years 6 weeks (42 days)
2 – 3 years 8 weeks (56 days)
3 – 4 years 12 weeks (84 days)
4 years or more 12 weeks (From September 2008, 16 weeks (112 days))

quozl

mcmorrowg wrote: »

Knashers comment about the landlord not being able to kick you out once you have a years lease is incorrect.

Un-true. He was correct as you are mixing up a part 4 and a fixed term tenancy. All the exceptions you listed are to a Part 4 tenancy, which this would not be. Your quote even included ' (a Part 4 tenancy)'.

Have a read of http://www.boards.ie/vbulletin/showthread.php?t=2056099064

Like Victor I would be a bit nervous about my deposit. Only a bit, but still.

Marcusm

I have rented at the Alliance since it was first let in September 2008, the rent has reduced significantly since that time. THe rate quoted in the Irish Times article is well publicised by the letting and management agent, The Lansdowne Partnership. The article suggested that all units are let and I get the impression that is the case, more or less.

When the building was opened it was managed in house by some competent people who, in my opinion, lacked available resources to sort out minor snagging and ongoing maintenance issues. Shortly thereafter it was taken into receivership and 6 months or so further on Lansdowne was appointed to manage it. Since that time, they have made gentle improvements in cleaning and maintenance (particularly to the lifts which are prone to failure). Additionally, they have sought to deal with certain anti social behaviours such as loud late night parties.

Overall I think it is a decent run place and I would not expect any purchaser to seek to sell on the individual units for some years - it would be quite difficult to sell them off quickly and they maintain better control if there is not a mix of owners. They would quickly lose control over the building as a whole if there was a substantial ownership change.

Other minor things - TV is provided through a Tyrone based crowd called SkyConway which routes satellite feed through the building and can also provide internet. This is different from many other Gasworks buildings which are primarily UPC/NTL based.

jdivision

Presumably the deposit would got to the receiver and therefore you would be guaranteed its return. Given the block is being sold in totality, it's unlikely somebody would quickly break it up, they would have to sell it off unit by unit and the upfront tax charges would make that difficult to flip in a short-term to make it worth the risk.

Breezer

Thanks for all the advice guys. Ended up getting another place, but appreciate it all the same!