Approval of €600m in new construction loans by Bank of Ireland supported delivery of 4,000 new homes.
Bank of Ireland has revealed that is currently funding the construction of 21,000 homes across Ireland, of which 9,500 are social and affordable.
The Bank said that last year it approved €600m in new construction loans to housebuilders supporting the delivery of 4,000 homes.
“Housing supply is crucial for the wellbeing of society and the future success of the country and Bank of Ireland is determined to play our part”
The new lending lifts the Bank’s homebuilding loan approvals to €1.05bn, which will support the construction of 21,000 new homes over the next three years.
Building ambition
Over the past year, the Bank has increased the funding available for housing development by 40% to €2.5bn, with the ambition to support the construction of 25,000 homes. It has also created a new dedicated housing and construction finance business to provide expert support to the housebuilding sector and is now funding 220 sites across 22 counties.
In addition to providing debt financing, in 2024 Bank of Ireland backed the €55 million Irish Homebuilding Equity Fund to provide housebuilders with equity investment to unlock early-stage development opportunities.
Bank of Ireland will also act as sponsor for the Irish pavilion at this year’s MIPIM, the international property investment conference in Cannes, France, supporting the country’s first ever presence at this key event for global investors.
“Housing supply is crucial for the wellbeing of society and the future success of the country and Bank of Ireland is determined to play our part,” said John Feeney, Chief Executive of Bank of Ireland’s Corporate and Commercial division.
“We saw strong momentum last year with €600 million of transactions agreed across our corporate and business banking teams, and a good spread in terms of the mix of private and social and affordable housing and their location.
“Last year we increased our funding available for new housing by 40% to €2.5 billion, including €1 billion for social and affordable projects.
“We are currently funding the building of 21,000 homes and we are seeking more ‘shovel ready’ projects – both big and small – to help us deliver on that ambition. Looking out over the first six months of 2025, I’m pleased to say the pipeline is healthy as our customers step up their activity.”
Feeney added: “We also recognise that international institutional capital is important to the funding mix and Bank of Ireland will be making the case for investment in the Irish market where we can be a trusted and reliable partner for international investors.”
Recent projects for which the Bank has provided finance include:
- GEM Construction – 237 new homes in Dunshaughlin, Co. Meath (‘The Willows’) and 220 social and affordable homes in Mulhuddart, Dublin (‘Churchfields’).
- Castlethorn – 123 family homes (3 and 4-beds) in Dublin 15 (‘Luttrellstown Gate’).
- Dwyer Nolan Developments Ltd – 531 apartments in Ballyfermot, Dublin.
- Hallmark Developments – 199 houses (2, 3 and 4-beds) and duplex apartments in Mallow, Co. Cork (‘Rose Hill’)
- O’Flynn Group – 96 houses (2, 3 and 4-beds) in Kerry Pike, Co. Cork.
- Torca Homes – 76 houses (2, 3 and 4-beds) and 46 apartments in Clonmel, Co. Tipperary (‘Coleville Woods’).
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