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 Post subject: Noonan wants NAMA to become a housing development agency
PostPosted: Sat Sep 19, 2015 9:37 am 
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Of Systemic Importance

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Who'd have ever seen this one coming :roll:

http://www.independent.ie/irish-news/ho ... 39983.html
Quote:
However, in a bid to tackle the escalating housing shortage, Finance Minister Michael Noonan intends to turn the State’s bad bank, Nama, into a housing development agency to deliver homes for families unable to purchase a property.
In a radical shake-up of Nama's role, it will be told to start building houses and releasing key sites in areas of high demand so that construction of new homes can begin.
Mr Noonan will include a package of measures on housing in next month's Budget – but he does not want to simply give tax breaks to developers.
Instead, he is focused on changing Nama’s remit from a debt management agency into a home builder – a move called for in many quarters, given the large tracts of land it controls and its access to finance.
Mr Noonan has indicated he will make Nama into a housing executive, charged with building both affordable housing for families, and social housing aimed at reducing council waiting lists.


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 Post subject: Re: Noonan wants NAMA to become a housing development agency
PostPosted: Sun Sep 20, 2015 11:46 am 
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Planning Tribunal Attendee

Joined: Jan 28, 2013
Posts: 1336
FreeFallin wrote:
Who'd have ever seen this one coming :roll:

http://www.independent.ie/irish-news/ho ... 39983.html
Quote:
However, in a bid to tackle the escalating housing shortage, Finance Minister Michael Noonan intends to turn the State’s bad bank, Nama, into a housing development agency to deliver homes for families unable to purchase a property.
In a radical shake-up of Nama's role, it will be told to start building houses and releasing key sites in areas of high demand so that construction of new homes can begin.
Mr Noonan will include a package of measures on housing in next month's Budget – but he does not want to simply give tax breaks to developers.
Instead, he is focused on changing Nama’s remit from a debt management agency into a home builder – a move called for in many quarters, given the large tracts of land it controls and its access to finance.
Mr Noonan has indicated he will make Nama into a housing executive, charged with building both affordable housing for families, and social housing aimed at reducing council waiting lists.



Central planning, what can possibly go wrong?


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 Post subject: Re: Noonan wants NAMA to become a housing development agency
PostPosted: Sun Sep 20, 2015 12:44 pm 
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Joined: Aug 23, 2008
Posts: 3615
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Scratcher wrote:
FreeFallin wrote:
Who'd have ever seen this one coming :roll:

http://www.independent.ie/irish-news/ho ... 39983.html
Quote:
However, in a bid to tackle the escalating housing shortage, Finance Minister Michael Noonan intends to turn the State’s bad bank, Nama, into a housing development agency to deliver homes for families unable to purchase a property.
In a radical shake-up of Nama's role, it will be told to start building houses and releasing key sites in areas of high demand so that construction of new homes can begin.
Mr Noonan will include a package of measures on housing in next month's Budget – but he does not want to simply give tax breaks to developers.
Instead, he is focused on changing Nama’s remit from a debt management agency into a home builder – a move called for in many quarters, given the large tracts of land it controls and its access to finance.
Mr Noonan has indicated he will make Nama into a housing executive, charged with building both affordable housing for families, and social housing aimed at reducing council waiting lists.



Central planning, what can possibly go wrong?

Could it be any worse than a flock of unguided "developers" building the same housing requirement* many times over out in the sticks!

*A local plan forecasts a housing requirement of 150 houses and six developers each build 200 houses hoping to cash in, that worked out well didn't it.

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 Post subject: Re: Noonan wants NAMA to become a housing development agency
PostPosted: Sun Sep 20, 2015 1:51 pm 
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Planning Tribunal Attendee

Joined: Jan 28, 2013
Posts: 1336
dolanbaker wrote:
Scratcher wrote:
FreeFallin wrote:
Who'd have ever seen this one coming :roll:

http://www.independent.ie/irish-news/ho ... 39983.html
Quote:
However, in a bid to tackle the escalating housing shortage, Finance Minister Michael Noonan intends to turn the State’s bad bank, Nama, into a housing development agency to deliver homes for families unable to purchase a property.
In a radical shake-up of Nama's role, it will be told to start building houses and releasing key sites in areas of high demand so that construction of new homes can begin.
Mr Noonan will include a package of measures on housing in next month's Budget – but he does not want to simply give tax breaks to developers.
Instead, he is focused on changing Nama’s remit from a debt management agency into a home builder – a move called for in many quarters, given the large tracts of land it controls and its access to finance.
Mr Noonan has indicated he will make Nama into a housing executive, charged with building both affordable housing for families, and social housing aimed at reducing council waiting lists.



Central planning, what can possibly go wrong?

Could it be any worse than a flock of unguided "developers" building the same housing requirement* many times over out in the sticks!

*A local plan forecasts a housing requirement of 150 houses and six developers each build 200 houses hoping to cash in, that worked out well didn't it.


Well when you put it like that... Why is in this country we are always looking to the least worse choice?


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 Post subject: Re: Noonan wants NAMA to become a housing development agency
PostPosted: Tue Sep 22, 2015 9:33 am 
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Property Magnate

Joined: Jan 4, 2012
Posts: 596
Irish Independent: Nama to free land for housing - even if it makes a loss
http://www.independent.ie/irish-news/home-truths/nama-to-free-land-for-housing-even-if-it-makes-a-loss-31547444.html


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 Post subject: Re: Noonan wants NAMA to become a housing development agency
PostPosted: Tue Sep 22, 2015 9:35 am 
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Joined: Sep 13, 2007
Posts: 31765
Location: Tullamore
Scratcher wrote:
dolanbaker wrote:
Could it be any worse than a flock of unguided "developers" building the same housing requirement* many times over out in the sticks!

*A local plan forecasts a housing requirement of 150 houses and six developers each build 200 houses hoping to cash in, that worked out well didn't it.


Well when you put it like that... Why is in this country we are always looking to the least worse choice?

Mad, isn't it? And I agree with dolanbaker, this is less bad than leaving it to our wonderful private sector...

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 Post subject: Re: Noonan wants NAMA to become a housing development agency
PostPosted: Tue Sep 22, 2015 10:22 am 
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Joined: Jan 27, 2014
Posts: 118
Anyone know whether all the developers' loans referred to here are fully performing?

If they are not then should the developers be controlling the assets?

If they are then they are presumably being facilitated in hoarding land by both low interest rates and a lack of land or site value taxes.

http://www.independent.ie/irish-news/ho ... 47444.html

"The choice is to wait for the lands to appreciate so the full costs are recoverable. Nama could take a commercial hit to facilitate development."
The proposal comes after a senior Nama figure told a housing conference, organised by the National Economic and Social Council, that debt write-downs would have to be considered to free up land banks.
Portfolio manager Felix McKenna said there was a "real structural conundrum" regarding lowering land costs, "because a lot of the land remains heavily indebted".
"Those developers cannot be motivated to consume that land unless they repay the debt attached to it," he said.
"The natural inclination is to hold back until they are in a position to clear their personal indebtedness. The upshot is that there has to be some recognition of a debt write-off.
"In a Nama context, that liability falls straight back on to the taxpayer and it's not that much different for the banks. How can land be brought forward if the return to the developer does not cover the debt?"


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 Post subject: Re: Noonan wants NAMA to become a housing development agency
PostPosted: Tue Sep 22, 2015 11:14 am 
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Property Magnate

Joined: May 20, 2014
Posts: 702
Location: Location Location
assetwatch wrote:
Anyone know whether all the developers' loans referred to here are fully performing?

If they are not then should the developers be controlling the assets?

If they are then they are presumably being facilitated in hoarding land by both low interest rates and a lack of land or site value taxes.

http://www.independent.ie/irish-news/ho ... 47444.html

"The choice is to wait for the lands to appreciate so the full costs are recoverable. Nama could take a commercial hit to facilitate development."
The proposal comes after a senior Nama figure told a housing conference, organised by the National Economic and Social Council, that debt write-downs would have to be considered to free up land banks.
Portfolio manager Felix McKenna said there was a "real structural conundrum" regarding lowering land costs, "because a lot of the land remains heavily indebted".
"Those developers cannot be motivated to consume that land unless they repay the debt attached to it," he said.
"The natural inclination is to hold back until they are in a position to clear their personal indebtedness. The upshot is that there has to be some recognition of a debt write-off.
"In a Nama context, that liability falls straight back on to the taxpayer and it's not that much different for the banks. How can land be brought forward if the return to the developer does not cover the debt?"


If I recall correctly, virtually none of the NAMA developer loans are what would normally be considered to be performing loans. NAMA should therefore enforce its interest in the security underpinning the loans, thereby taking possession of the properties itself. The quotes in the article really hammer home how cosseted the NAMA clients really are. They were fully insulated from the crash by effectively retaining control over their assets while they appreciated in value, at the same time as getting generous taxpayer subsidized EUR200k per annum salaries. Clearly the business model was to keep properties off the market, squeeze supply to force prices up and protect the interests of its debtors XX


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 Post subject: Re: Noonan wants NAMA to become a housing development agency
PostPosted: Tue Sep 22, 2015 12:26 pm 
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Joined: Oct 7, 2014
Posts: 1015
My initial reaction to this is that it's good news - the state surely has a role in providing houses in the current situation (developers unwilling/unable to deliver at current prices, depending on who you believe). Curious that the reaction here is so negative. I thought I remembered people on here decrying NAMA's unwillingness to help contribute to solving the housing shortage?


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 Post subject: Re: Noonan wants NAMA to become a housing development agency
PostPosted: Tue Sep 22, 2015 2:07 pm 
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Posts: 23070
The existing system in incapable of solving the problem since the problem is still with us, i.e. the unreformed treason.

What is NAMA? What's it been doing? How has it affected our lives? Who has gained? Who has lost? What went in there and what's come out. We only know the tip of the sticking frozen turd, and this , this is vigorous political polishing.

The whole thing, the entire entity should FOI'd until there is nothing left to know. It's not a thing of good. It's been a institutional evil. Secrecy in this instance is evil. Secrecy was and is used by a small few with a lot to hide and retain advantage at the expense of greater society trying to shelter themselves through a crisis created from within.

Moderation is for the drunk. These guys aren't drunk. They've always been cold calculating every inch of the the way to and from the Banks. We need to call out the bad, the pure no good evil bullshit for what it is. Things that lead to no good are known as bad.

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