Construction of a 48-unit apartment block in Carrickmines, Dublin, has ground to a halt in a row over how it was built.
The four-storey apartment block at the Glen, Glenamuck Road, was allegedly built 4.9 metres from where it should have been, was rotated anti-clockwise and also built a metre higher than it should have been it has been claimed. It has been completed to roof level.
It was being built for the housing charity Respond and was due to be completed in May of last year, it has been claimed in High Court proceedings.
However, all works ceased last October after the alleged breaches of the planning permission were brought to the attention of Dun Laoghaire Rathdown Co Council.
In 2020, Respond agreed with Cavernbell Ltd that it would carry out the development and that company engaged Blacklough Construction to do the building works.
Cavernbell also appointed consultants Crawarch Ltd to be project supervisor, architect and assigned certifier of the works.
Construction got underway and Crawarch told Cavernbell that the works were substantially compliant.
However, Cavernbell director Phelim O'Connor says that immediately upon receipt of a letter from Dun Laoghaire Rathdown Council about the alleged planning breaches, works stopped.
Mr O'Connor, in an affidavit seeking admission of the case to the fast track Commercial Council, said even though the council granted permission to allow the apartment block to be retained, Cavernbell considers it is highly likely this will be appealed to An Bord Pleanála, that could take up to 18 months to conclude.
There is also a possibility of a court challenge, he said. This is in circumstances where local residents had objected to the retention application because of loss of privacy, overlooking of gardens by proposed balconies and loss of daylight, among other things, he said.
In the meantime, Mr O'Connor said, the builders Blacklough Construction has recently gone into liquidation and Cavernbell will be bringing proceedings against that company for failure to deliver the development.
Mr O'Connor said there was a clear commercial aspect to the case. Cavernbell has been paid €4.5m so far by Respond and if retention permission for the apartment block cannot be obtained, the company will suffer catastrophic losses, he said.High Coutt
It is estimated it would cost €500,000 to demolish the block and the the rebuilding would mean that the €12.5m costs for the entire project would be subject to a significant increase due to construction inflation, he said.
If planning retention is ultimately obtained, Cavernbell's losses will still be very significant in relation to delays since work stopped in October. Under the contract, Respond is entitled to liquidated damages of €4,800 for every week of delay in completing the project.
The case was admitted to the Commercial Court on consent between the parties by Mr Justice Denis McDonald.