Property professional su08

property THE MAGAZINE OF THE INSTITUTE OF PROFESSIONAL AUCTIONEERS & VALUERS

The

SUMMER 2008

PROFESSIONAL

STRONG UNDERLYING DEMAND FOR HOUSING MINISTER CONVENTION 2008

If it’s Thursday, it must be Property.

Location, location, location. Ask anyone and they’ll tell you that the three golden rules apply, whether you’re buying or selling.

Since location is key to all the best property deals, we thought you might be interested in a prime piece of real estate that’s attracting multiple viewings on a weekly basis. Well proportioned and meticulously maintained, with its original features intact, it’s ideally placed to capture all interested parties.

Thursday’s Property Supplement in The Irish Times. Going, going...call 01 6758636. Gone.

contents W E L C O M E

T O

T H E

P R O P E R T Y

P R O F E S S I O N A L

Dear Member Firstly, I wish to thank all those members who attended our recent AGM and Annual Convention in the Grand Hotel, Malahide. It was a very enjoyable event and I would like to express our particular appreciation to our new President, Alan Redmond for being such a wonderful host.

I would like also to thank our very generous sponsors without whom the event could not take place each year.

But most thanks must go to you, the members who made the effort to go there and attend the various sessions. It was an exciting weekend with a lot packed in over the two days and I hope you got some worthwhile benefit from it. It was, as usual, also a very pleasant social occasion and provided an opportunity to meet old friends and make new acquaintances.

Recently, the issue of giving correct house prices to the national newspapers has arisen with the National Consumer Agency demanding exact prices be given. I address this issue at some length elsewhere but here I would simply remind members of their obligations under the current legislation.

IPAV is working, on your behalf, to resolve this difficulty as quickly as possible as there is a dearth of information for consumers at present.

Fintan McNamara

THE PROPERTY PROFESSIONAL IS THE MAGAZINE OF THE INSTITUTE OF PROFESSIONAL AUCTIONEERS & VALUERS 129 LOWER BAGGOT STREET DUBLIN 2 TEL: 01 6785685 FAX: 01 6762890 E-mail: info@ipav.ie Website: www.ipav.ie CEI Website: www.web-cei.com

Shortly the new Bill which will regulate the auctioneering profession will be published and IPAV will ensure that members are fully informed of its contents as quickly as possible. We will also be putting forward any amendments which we think are necessary in the interest of members and the general public.

In the autumn we will again be running our CPD courses and I would appeal to all members to make the effort to attend as these will be compulsory in the future. Details will be circulated in good time.

We are now working on compiling the 2009 Yearbook and Diary and I would appeal to you to update the office on any changes to your details as quickly as possible.

At this point I would like to say a special word of appreciation to the office staff Laura, Val and Betty whose commitment and dedication keep the show on the road.

I would like to say a special word of thanks to Clare who recently left the office to move on to pastures new and to wish her well in her future career.

Finally, as we approach the traditional holiday period, I hope you get time to take a well earned break and to return refreshed for the hopefully busy Autumn season

Chief Executive Officer Fintan McNamara M.Litt. Dip. L.S. MIPAV(HON)

Fintan McNamara Chief Executive

Editor Tim Ryan Tim Ryan Communications Tel: 01 679 0380

CONTENTS CONSUMER CONTROVERSY OVER HOUSE SALES PRICES

Advertising & Design Designroom info@designroom.ie Tel: 01 497 9022

property Publisher

Designroom www.designroom.ie

The

SUMMER 2008

PROFESSIONAL

Views expressed by contributors or correspondents are not necessarily those of IPAV or the publisher and neither IPAV nor the publisher accept any responsibility for them.

PG 4

CONVENTION ‘08

PG6-17

DUBLIN’S COMMERCIAL RENTS ARE HOLDING UP

PG22

BALLINA IPAV MEMBER CELEBRATES 25 YEARS IN BUSINESS

PG24

HELPING PROPERTY OWNERS IN THE SOUTH OF FRANCE

PG26

WHAT’S IN A NAME?

PG28 the property professional

1

the property professional

MESSAGE FROM

THE PRESIDENT Let me say at the outset how honoured I am to be elected President of IPAV. It is an honour I take with great sincerity and gratitude. During my term I will, as I said in my address to the Annual Convention, do all in my power to promote the interests of the Institute at this challenging time.

I would like to thank my predecessor, Seán Mason, for his work and dedication for the past two years and to wish him and his wife, Maureen, many years of happy retirement. Seán continues, of course, to be of assistance to us at National Council level and I look forward to working with him and all the members over the next year.

I also wish to congratulate the Senior Vice-President, John Shaw and the Junior Vice-President, Paul Reynolds on their election.

I would like to say a special word of thanks to all the members who made the journey to Malahide for the AGM and Annual Convention. I think you all benefitted very much from it as well as enjoying the social aspects.

Alan Redmond President

John Tierney’s views on where Dublin city is headed, summarised elsewhere in this magazine, were extremely interesting and the level of interest could be gauged from the number of questions from members when he had concluded.

Pat Falvey, the world-renowned explorer and motivation speaker was very inspirational to listen to and I salute a man of his determination and dedication at setting difficult goals and achieving them. I will be closely monitoring his future challenges as he indicated he has a full programme planned.

Owen O’Neill’s views on banking from the other side of the table were informative and useful to members. And, of course, our Special Guest of the evening, the new Minister for Finance, Brian Lenihan, who was attending his first official function in his new role, gave us a snap overview of the Irish economy and where he believes it is heading.

Thanks, too, to our sponsors, namely Daft.ie, the Irish Independent, The Irish Times, the Irish Examiner, Property Team and Home Care Publicity Services for making the events such a wonderful occasion.

Earlier at our AGM, members approved an updated Constitution which brings us into line with the requirements of running a modern-day institute. I would like to thank Martin O’Mahony, the Convenor of the Committee and all the members for their efforts over the past year.

I am now beginning to engage in the many issues that face us. Shortly before our Convention the issue of incorrect information on house sales was raised in the national media by the National Consumer Agency. This is a complex area and is dealt with comprehensively elsewhere in an article by our Chief Executive. Suffice it to say, I will be working on IPAV’s behalf to try to bring about an amicable settlement as quickly as possible as the current situation is not sustainable, given there is a dearth of information for consumers who wish to buy or sell properties.

This year is proving a challenging one for all members nationwide. However, as I said at the Convention, the easing back in prices has made houses more affordable for all, notably young couples starting out in life and this is to be welcomed.

Hopefully, the period of consolidation will soon bottom out and we can look forward to a more balanced and fruitful Autumn season.

I wish you all a happy summer break.

Alan Redmond PRESIDENT

2

the property professional

For the agent who has everything.

Whether you’re into residential, commercial or overseas property, new developments, lettings, or a little bit of everything, we’ve got it covered on MyHome.ie.

Want it all? Contact us on 01 8279454 or property@myhome.ie

RESIDENTIAL

LETTINGS

COMMERCIAL

OVERSEAS

the property professional

CONSUMER CONTROVERSY OVER HOUSE SALES PRICES COULD BE COUNTERPRODUCTIVE

BY FINTAN MCNAMARA, IPAV CHIEF EXECUTIVE

Fintan McNamara

One of the more graphic descriptions of the assassination of the ancient Roman Emperor Caligula on Jan 24, 41 A.D. is that given by the Jewish historian Josephus. Caligula was a particularly nasty piece of work, bumped off by an army sergeant Cassius Chaerea whom he subjected to continuous humiliation and bullying. Feeling the pangs of guilt, Caligula’s elite German bodyguards ran amuck killing all before them before they were eventually brought to order and calmed by an auctioneer named Euarestus Arruntius.

The National Consumer Agency has a somewhat shorter history than the auctioneering profession. It was established in May 2007 under the National Consumer Protection Act with a budget of some €8 million. While with us only one year, it is certainly determined to make us aware of its existence. Together with the voluntary Consumers Association of Ireland, it deals with routine complaints from consumers in relation to such matters as poor public services, misleading pricing, anticompetitive behaviour etc.

The leadership skills of Arruntius might help two thousand years on to calm some of the fears raised in the airwaves recently by the National Consumer Agency about auctioneers releasing misleading sale prices and creating a false market.

In the Autumn of 2006, the Law Reform Commission released its recommendations on the regulations governing apartment living and subsequently the NCA organised a forum comprised of the relevant stakeholders. It recently produced a recommended code of practice and standards for developers, management companies and agents managing private apartment complexes. The new code received lots of airtime and will surely be a great help to the National Property Services Regulatory Authority, which already has produced a code of practice of its own for estate agents.

AER LINGUS FARES The NCA made headlines in the recent Aer Lingus fares controversy and forced MCD, the promoters of The Barbara Streisand concert last year, to compensate those who found themselves with no seating facilities after having forked out a fortune for tickets. While media activity on these issues may have contributed to success, it is far from clear what the effects of the NCA’s media intervention in the house sales controversy will be.

In fact it is quite possible that attempts at resolving this issue in full media glare and with such fanfare may turn out to be counterproductive if further remedial action is not taken. I remember two years after purchasing my first home some years back, noticing another similar property on the market for £6,000 more. I recall remarking to my local butcher that I felt the agents would not achieve that price to which he responded: “Ah,

4

the property professional

but they will get close to it”, which subsequently proved correct. In the current situation in relation to house prices I would be unable to ascertain the price.

The Irish Times which first drew the attention of the two professional auctioneering bodies to the alleged problem of grossly inflated prices claimed they were able to identify the discrepancies and inflated prices relayed to them because of their close tracking of house sales. They were undoubtedly aware of who the offenders were and were in a position to at least encourage the capricious agents to mend their ways. This appeared to be the probable directions events would have taken until the NCA took to the airwaves.

It is not clear at all how wide of the mark the inflated prices were or how extensive the problem was in the first place. The anecdotal evidence is conflicting but one thing is now certain - unless there are legislative changes or an acceptance that established practices which have enabled the market to function for decades and do not necessarily conflict with the law are allowed to continue, then there will be a dearth of information in the marketplace, thus seriously placing consumers at a disadvantage.

BILLY HAWKES The Data Protection Commissioner Billy Hawkes was quoted in The Irish Times on May 12th as saying that he cannot see why auctioneers cannot give generalised information on house prices but Ms Fitzgerald of the NCA takes a more absolutist, narrow approach and demands that it is either the exact price or nothing at all. Past experience has shown that vendors and purchasers alike are unwilling to facilitate disclosure of exact prices and without this permission agents are silenced.

The relevant sections of Consumer Protection Act 2007 on which Ms Fitzgerald relies appear to be Sections 41,42,43,46 and 47.

“Section 41(1) requires that a trader may not engage in unfair commercial practice……………….. that would cause an average consumer to make a transactional decision that the average consumer would not otherwise make.”

The section points to standards of skill, care, diligence and good faith in the trader’s field of activity that must be employed to avoid this scenario.

Interestingly, it goes on to state that the commercial practice shall be considered in its factual context, taking account of all its

IPAV CEO Fintan McNamara with Alan Cooke, Chief Executive, IAVI and Ann Cooke

features and the circumstances. There certainly appears to be some room for manoeuvre here in the interpretation of the Act. Section 42 (1) states that a trader shall not engage in a misleading commercial practice. and Section 43 (1) of the Act states that a commercial practice is misleading if it includes the provision of information in relation to any matter set out in subsection (3) (in the case of auctioneers specifically S(3) (c) which refers to the price of a product) and that information would be likely to cause the average consumer to make a transactional decision that the average consumer would not otherwise make.

Section 42(2) states that a commercial practice is misleading if it would be likely to cause the average consumer to be deceived, or misled, in relation to any matter set out in subsection (3) and to make a transactional decision the average consumer would not otherwise make.

Section 46 expands on the definition of misleading by making reference to the omission or concealment of material information the average consumer would need in the context to make an informed transactional decision.

S 46(2)(i) is significant for estate agents where it states that a commercial practice is misleading if the trader (i) provides information that is unclear, unintelligible,

ambiguous or untimely. In this regard there have been claims that house sale prices have been circulated to the media long after the completion of the transaction and when the market may have moved in the interval. This, if correct, is bad practice.

FINES AND PENALTIES Finally Section 47: a trader who engages in any misleading commercial practice described in section 43(1) or (2) commits an offence and is liable on conviction to fines and penalties In the interest of avoiding possible prosecution under the National Consumer Protection Act and while awaiting further clarity on this issue, IPAV is urging its members to be aware of these statutory obligations. In the present circumstances, it has agreed to recommend that members give the exact price having secured the permission of both vendors and purchasers or else say nothing at all. However, this is on the broad understanding that a speedy remedy is found.

Quite clearly, it is time to clear up the confusion and cast more light on the question as to how narrowly or broadly the relevant sections of the Act may be interpreted and if it was really the intention of the Oireachtas that only an exact figure or none at all be circulated in relation to house price sales.

the property professional

5

the property professional

CONVENTION ‘08

LARGE TURNOUT FOR IPAV’S ANNUAL CONVENTION! A native of North Dublin, Alan is Managing Director of the Shane Redmond Group which has offices in Swords and Lusk. Alan has over 14 years experience of the residential property market throughout North Dublin City and County.

He was elected to IPAV’s National Council in 2002 and has served as Junior Vice-President and Senior Vice-President.

Saturday was business day with delegates hearing presentations from Dublin City Manager, John Tierney, explorer Pat Falvey and Anglo-Irish Bank Director of Lending, Owen O’Neill

IPAV President Alan Redmond presenting a gavel to former President Seán Mason at the Convention

IPAV’s AGM and Annual Convention, held in the Grand Hotel, Malahide, Co Dublin on May 9 and 10 saw a large turnout.

Swords-based auctioneer and former Senior Vice-President Alan Redmond was elected President. John Shaw of John Shaw Auctioneers, Limerick and Paul Reynolds of Property Partners Reynolds, Letterkenny were elected Senior and Junior VicePresidents respectively.

Later the 240 members and guests attended the Convention Dinner where the new Minister for Finance, Brian Lenihan TD was the Guest of Honour.

Guests at the Convention included the Chairman and Director Designate of the National Property Services Regulatory Authority, Tim Dalton and Thomas Lynch respectively, Tom Parlon, Director General of the CIF, Hubert Fitzpatrick, Director of the Irish Home Builders Association, Alan Cooke, Chief Executive, IAVI, Ciara Byrne, Chief Executive, the Society of Chartered Surveyors, Tom Dunne, Chairman National Facility Managers Association, John Cusack, Head of Business, Athlone Institute of Technology as well as local Dáil deputies, Daragh O’Brien, Michael Kennedy and Dr James Reilly.

IPAV WISHES TO THANK THE SPONSORS OF CONVENTION 2008: Daft.ie The Irish Independent The Irish Examiner The Irish Times Property Team Homecare Publicity

On Saturday spouses and partners enjoyed a very interesting tour of nearby Malahide Castle and gardens organised by Roxane Moorhead.

GOLF OUTING A MAJOR SUCCESS! The IPAV annual golf outing to Portmarnock Links on Friday, May 9, again proved to be one of the highlights of the weekend.

The competition was sponsored as usual by the Property Examiner which was represented at the Convention by Aidan Forde, Head of Advertising, Marguerite Dooley, Property Advertising Manager along with Margaret O’Meara and Louise Daly from the Property Advertising Department. Aidan and Marguerite presented the prizes at a very enjoyable social gathering on Friday evening.

RESULTS: Winning team:

Graham Lillicrap, Brian Murphy, David Curry and Aidan Forde

Second place:

James Loughnane, Maurice Corr, Mark Gosling and Tom Cullen

Third place:

Paul Reddy, Pat Finn, Martin Tynan and Owen McDonnell

Nearest the pin:

Ladies: Ella Dunphy

Nearest the pin:

Men: Owen McDonnell

Longest drive:

Aengus Oates

The winning team of Graham Lillicrap, Brian Murphy, David Curry and Aidan Forde pictured with IPAV President Alan Redmond and Margueirte Dooley, Head of Property Advertising, the Irish Examiner

Ella Dunpy, DGN Ella Dunphy, (right) High St., Kilkenny receiving the perpetual trophy from IPAV President Alan Redmond and Marguerite Dooley, the Irish Examiner

The runner-up team (r to l): James Loughnane, In third place were (r to l): Pat Finn, Paul Reddy, Owen McDonnell and Martin Tynan pictured here with Maurice Corr, Tom Cullen and Mark Gosling with Marguerite Dooley, Alan Redmond and Aidan Forde Marguerite Dooley, Alan Redmond and Aidan Forde

6

the property professional

Displays Distinction Displaysofof Distinction

Sean Douglas has rebranded and relocated to a bigger, brighter offices and showrooms. With over 20 years experience dealing with Estate Agents in Ireland, our new service comes with new solutions and Ideas.

Give us a call to avail of our nationwide service from design to installation.

Services & Products Window/Interior Displays

Revolving

Freestanding

.ie Douglas Displays Limited, Unit 7, Broomhill Business Complex, Tallaght, Dublin 24 Tel: 01 413 1015 Fax: 01 413 1039 Mobile: 087 259 0228 Email: sean@douglasdisplays.ie

Digital

the property professional

CONVENTION ‘08

STRONG UNDERLYING DEMAND FOR HOUSING NEW HOUSE CONSTRUCTION IS NOW IN A TRANSITION PHASE TOWARDS LOWER, MORE SUSTAINABLE LEVELS OF OUTPUT THE NEW MINISTER FOR FINANCE, BRIAN LENIHAN TD TOLD IPAV’S ANNUAL CONVENTION. BELOW IS A SUMMARY OF HIS REMARKS. However, over the past year or so the economic environment has clearly become more challenging. This reflects a combination of both international and domestic factors. On the domestic front, you all know the importance of the residential construction sector to the economy in recent years; for instance, roughly one-third of the housing stock has been built within the past decade. However, it is clear that the residential construction sector had reached unsustainable levels in recent years; on the basis of factors such as demographics and household formation rates, we simply did not need to keep producing such high levels of output.

TRANSITION PHASE

The Minister for Finance, Brian Lenihan TD with IPAV President Alan Redmond and CEO Fintan McNamara

The property market in most countries reflects wider economic developments and Ireland is no exception. Therefore, in my remarks I would like to concentrate on prospective developments in the Irish economy and a number of issues from my previous office which I’m sure will be of interest to you.

Over the past decade or so, we have enjoyed an unprecedented degree of economic success and prosperity in this country. Ireland is now an international showcase of how a country’s economic landscape can be transformed through implementing appropriate policies.

By any benchmark our economic success over the past decade has been impressive. Irish per capita income levels have converged to and beyond the European average. In terms of our public finances we have recorded surpluses in ten of the last eleven years, and we now enjoy one of the lowest levels of public debt in the euro area. The labour market has been transformed – the number at work has increased by over 700,000, bringing the overall labour force to in excess of 2 million. This facilitated a decline in unemployment from double-digit rates less than a decade ago to around 5_ per cent today.

Involuntary emigration has thankfully come to an end and in more recent years we have begun to experience a new phenomenon, namely that of large immigration. Non-Irish nationals now account for a significant portion of the domestic labour force, a reflection of the underlying strengths of our economy.

8

the property professional

New house construction is now in a transition phase towards lower, more sustainable levels of output and this will weigh on growth in the short-term – we expect levels of new house building to be broadly similar to those prevailing at the beginning of this decade. We should, however, remember that the more sustainable levels of activity that are now anticipated are still very high levels that will still support a very important sector of our economy. The underlying demand for housing remains strong, driven by a relatively young population and continued inward migration. While we may experience a year or two of sub-50,000 completions, it is reasonable to expect over the medium term that annual completions would return back to sustainable levels which remain high by international standards, reflecting the strong underlying demand for housing in Ireland.

The Government moved quickly to provide support for the housing market, in recognition of the importance of this sector to the overall economy. Budget 2008 introduced fundamental changes to the residential Stamp Duty code which simplified the system and benefited all purchasers of residential property. Income tax relief at the standard rate is available on mortgage interest payments, at source, in respect of interest paid on monies borrowed for the purchase, maintenance, repair or improvement of a taxpayer’s main residence - the system operates to give the relief where it is of most benefit – by putting it into people’s bank accounts. These reforms were designed to help restore confidence because an orderly adjustment to more sustainable levels of output in this sector is in

CONVENTION ‘08

Finance Minister Brian Lenihan and IPAV President Alan Redmond with Dublin North Fianna Fáil TDs Michael Kennedy (left) and Darragh O’Brien (right)

the property professional

The important plus factor in responding to current challenges is that our economy is flexible and that we know that we have overcome difficulties in the past. The limited economic fall-out from the global IT shock at the beginning of this decade is one of the best examples of the economy’s resilience. In other words, while the shortterm prospects are unfavourable and we face them from a position of considerable strength, our economy is sufficiently resilient to ensure that the medium term prospects remain relatively benign. This, of course, is predicated on implementing the correct policies, which the Government is determined to do.

NEW BILL all of our interests. I believe that our action in this area will, in time, be seen as having been the correct response.

As a small and very open economy, global economic and financial conditions play a key role in shaping Ireland’s economic horizon.

The dislocation in international credit markets since last August has clearly been an important factor affecting the efficient and effective functioning of the global financial system. As far as the national position is concerned, as highlighted in the recent OECD Report on the Irish economy, Irish banks are in very good financial shape when looked at in terms of any of all the key financial indicators, including liquidity, asset quality and profitability. Indeed, the Irish banks have no material exposures to sub-prime securities.

In Europe the ECB and the Eurosystem has been pro-active in taking appropriate steps to help maintain stable credit market conditions. EU Finance Ministers are continuing to progress important steps to ensure a co-ordinated response by the EU as a whole to the current financial market environment.

Broader exchange rate developments are also of key importance to the overall economic landscape. The reality is that the euro has appreciated significantly against the dollar.

The euro has also appreciated against sterling. The recent rise in global commodity prices – especially oil and agricultural prices – is also unhelpful, in terms of our inflation performance. Clearly these factors have the potential to impact adversely on our competitive position.

GLOBAL RECOVERY Of course, we cannot influence the external environment in which we operate. What we can do is ensure that the Irish economy is suitably positioned to benefit from the

global recovery when this emerges. In this context, the Government is implementing policies designed to ensure that this is the case. Spending on human and physical capital under the National Development Plan will help boost the productive capacity of the economy, remove infrastructural bottlenecks, enhance our global competitiveness and facilitate the repositioning of the economy in the production of knowledge-intensive goods and services. This is how we will become an even more knowledge-based economy, and lay the foundations for future improvements in living standards.

We also need to control current spending to keep it in line with resources. We need the public service to become more efficient. We need to rein in the growth in new public sector bodies and rationalise what’s there already. I will be looking at these issues closely in the coming months as I prepare for Budget 2009. As a nation we will have to manage our expectations more prudently and focus clearly on what are our spending priorities. This is a challenge for us all but it must be seen in the context of the very significant increase in the amount of Government spending that we have provided for over recent Budgets.

Social partnership has played such a vital role in delivering real economic and social benefits over the past number of years. This partnership framework helps to ensure that all stake-holders in our economy have a shared sense of the difficulties that are emerging and that inappropriate policies are not implemented. This approach can also ensure that competitiveness is restored, thereby enabling a re-balancing of activity away from residential construction towards export-led growth. Achieving this type of growth is the only sustainable growth trajectory for the Irish economy. In this regard, Government’s commitment to social partnership won’t be found wanting.

I would now like to turn to a specific issue which is of interest to this Institute, namely the Property Services Regulatory Authority Bill. This Bill will address the main shortcomings in the existing statutory framework. I am confident that both consumers and the property services sector will benefit from the new structures and standards that will be put in place under the legislation. I want to acknowledge the positive response which the proposed new regulatory framework has received from the industry, including from this Institute.

On the Code of Practice for Auctioneers and House Agents, which I launched last November: I am encouraged that to date over 60% of Auctioneers and Estate Agents have signed up to the Code and that a number have indicated that they are amending their current administrative procedures in order to fully comply with the Code. However, I am disappointed that, some six months after the launch of the code, almost 40% of licensees have still not signed up to it.

Finally, I would like to acknowledge the valuable work of the Institute in seeking a Yes Vote in the Reform Treaty Referendum. I see a Yes Vote as essential in placing Ireland at the centre of a more efficient and effective European Union. We are the only Member State to hold a referendum on the Treaty, so it provides us with an opportunity to demonstrate once again to the rest of the Union our strong commitment to Europe, which has been of such enormous benefit to Ireland.

In conclusion, I know that, as professionals, as providers of a key service in the property sector and as sensible individuals, you will appreciate the changed economic reality and the challenge we all face. I would like to thank the Institute for your valuable support for the EU Reform Treaty and your input into the proposed Regulatory framework.

the property professional

9

the property professional

CONVENTION ‘08

BETTER VALUE FOR HOUSE BUYERS THERE ARE SIGNS THAT CONFIDENCE MAY BE GRADUALLY RETURNING TO THE HOUSING MARKET AND THAT BETTER VALUE IS BEING OBTAINED FOR THOSE WISHING TO BUY THEIR OWN HOME, IPAV’S NEW PRESIDENT, ALAN REDMOND TOLD THE ANNUAL CONVENTION IN MALAHIDE. THE FOLLOWING IS A SUMMARY OF HIS REMARKS.

we will be announcing details of this in due course.

REGULATION We are now in the era of regulation and IPAV is keen to play its part and to represent the interests of all members.

Shortly the new Minister for Justice, Equality and Law Reform will publish the longawaited Bill which will give legal effect to the office of the National Property Services Regulatory Authority. This will be a landmark piece of legislation as far as the Institute is concerned and we will be briefing members on its content as quickly as possible. We will also be monitoring its progress closely through both Houses of the Oireachtas and will be lobbying both TDs and Senators, when necessary.

IPAV President Alan Redmond with Dr James Reilly TD, Fine Gael Spokesman on Health & Children

It is a great honour for me to be elected President of this Institute which I have actively supported and promoted for many years.

During my time as Junior and Senior VicePresident I got a unique insight into the workings of IPAV and I was delighted to be part of its continued growth and development during that time.

Although we are now in a very challenging environment, I am happy to report that the Institute continues to thrive. Our membership continues to grow and we are in a very healthy state with over 900 members in total.

Last year also saw the first female members of National Council which is no longer an all-male preserve and I look forward to even more women putting their names forward for Council and to help the Institute in other ways.

EDUCATION IPAV’s education programme continued to progress during the past 12 months.

10

the property professional

The main development during the year was the commencement in September of the first year of the new HETAC-approved course, in association with Athlone Institute of Technology. The course is at three levels, Higher Certificate, degree and honours degree level. A total of 41 students registered for the course and we look forward to even greater numbers next September. The central location of AIT provides access to the course for students from the four corners of Ireland.

The full-time courses run at Cork College of Commerce and the Senior College, Dún Laoghaire continue to attract students for both the Certificate course and the Diploma course which is run at Cork College of Commerce. I would like to assure you that IPAV will continue to place a very heavy emphasis on education and to regard the provision of a good, professional training as at the very heart of our philosophy.

We must also provide even greater ongoing upskilling for our existing members. We are currently upgrading our programme of Continuous Professional Development, or CPD, in line with most other professions and

In the meantime, I would urge all members to sign up to the voluntary Code of Conduct if they have not already done so. As you are aware, this Code sets down standards of ethical behaviour and details how property services providers should deal with each other, their clients and the public. IPAV strongly supports this Code and would urge all members to become familiar with it and to display it in their offices as a further guarantee to the public of a professional level of service.

We are now facing a challenging marketplace. The overall economy is on a downturn and we have to prepare to meet that challenge in the best way possible.

In the newspapers and other media one reads all sorts of reports and analysis, some of it well-researched and argued but much of it wild, madcap commentary, without any basis in fact. It amounts to little more than commentators letting off steam at what was perceived as a wealthy section of the Irish economy.

And the property has been the main contributor to Ireland’s record growth in recent years. This is something we can be proud of and not be hiding. One only has to

CONVENTION ‘08

drive down any country road or town street to see how the homes of ordinary citizens have been transformed over the past 25 or 30 years. The construction industry has given modern Irish families homes and a lifestyle that even many of their parents only dreamed of. And we should be thankful for this development.

This did of course bring about some problems. The market grew too quickly and over-heated to some extent.

Let’s look at some facts rather than fiction.

There is a general view that the sustainable level of new housing completions for the Republic is approximately 50,000 units per annum, as flagged by the ESRI recently. This estimate is based on factors such as the demographic structure of the population. In the past several years the level of output has been in excess of that level.

The Government and the majority of the property industry generally have always been aware that activity would have to revert to more sustainable levels at some stage. Last year, the level of completions, at just in excess of 78,000, recorded an annual decline for the first time since the early 1990s and a further decline in new house completions is expected for this year.

MARKET IN TRANSITION The market, therefore, remains in a transition phase this year, although it is highly likely that completions could undershoot sustainable levels, given that confidence in the wider economy has been affected by international economic developments outside of our control. Given the level of activity of recent years, it is now accepted that the initial problem of inadequate supply has been rectified. And that is a major achievement for any country and something which other countries greatly envy.

Over the medium term, however, we can expect output to increase back into line with sustainable levels.

In this regard, it must be remembered that this level of output is still high by international standards but Irish people have always placed, and I expect will continue to place, a high emphasis on home ownership.

Regarding the controversial area of trends in house prices, the latest reliable data for February show that prices are approximately 9% below their peak levels. When inflation is taken into account, prices in real terms are now approximately 15% lower than at their peak. In other words, a significant part of any price adjustment that may have been necessary has already been completed. The

the property professional

adjustment has been significant but not shattering, given the huge increase in prices over the past 10 years.

Recently there has been some controversy concerning the accuracy or otherwise of reported house price sales. IPAV is calling on the Government to review the current legislation in this area as there is likely to be a dearth of information for customers in the current legal situation.

In the meantime I would just remind all our members to be aware of their statutory obligations in relation to current legislation and the Institute’s own Code of Practice.

The recent easing back of prices, combined with the changes in stamp duty and mortgage interest relief, makes house purchases more affordable, particularly for first-time buyers. And that is good news for our young people who are setting up homes and starting families.

In terms of affordability, the April EBS-DKM affordability index showed that the proportion of net income devoted to mortgage payments for a first-time buyer working couple has decreased from 26.4% in December 2006 to 22.4% in January 2008.

And that, too, is good news.

The underlying demand for housing remains strong as evidenced by the strong growth in rents and is supported by continuing relatively high employment and migratory inflows. In overall terms, while it is still not certain, there are signs that confidence may be gradually returning to the housing market and that better value is being obtained for those wishing to buy their own home.

THE WIDER ECONOMY But the health of the property market over the medium to long term will inevitably be linked to the health of the wider economy.

This, in turn, will depend on our ability as a nation to continue to attract more international investment flows and to incentivise indigenous industry and entrepreneurs which, in turn, will be a function of our competitiveness as a nation.

Competitiveness has many dimensions: The level of taxation is one.

Notwithstanding the impact of slower growth on the public finances, my advice to the new Taoiseach is that the Government must not propel Ireland back to the downward spiral that destroyed this country's economy in the 1980s with higher taxes on our most talented and most promising workers or companies: That is the way to guarantee an exodus of both people and capital from this island.

IPAV President Alan Redmond with his parents Shane and Mary Redmond at the Convention.

Instead the government must now turn its attention - and with urgency - to tackling the rapidly rising burden of public spending and the meaningful reform of the public service, with rewards going to those who enhance its efficiency, sustainability and productivity.

Well targeted investment in education with an emphasis on science, financial mathematics and high-end technologymust be another priority to sustain Ireland's mid-term competitiveness. Talk is cheap.

Meaningful action is becoming more urgent.

CEI On the European front, IPAV continues to play a positive role as an active member of the Confederation of European Estate Agents which represents 50,000 estate agents throughout Europe.

IPAV has a keen interest in Europe and believes that membership of the European Union has contributed greatly to the recent economic boom. The transfer of funds from Brussels to Ireland, notably the Structural Funds and the CAP, created the very strong base from which our modern economy emerged.

The new enlarged Europe is of huge interest to all of us and many members are already involved in partnerships with colleagues in many countries in the European Union and beyond.

Today I am calling on all members to vote ‘Yes’ in the Lisbon Treaty referendum on June 12 as IPAV believes a positive outcome is essential to continue our growth within the European Union.

In conclusion, I would like to thank all of you for your support and for taking the time to attend this valuable Convention. I wish to assure you that, for my part, I will do my utmost for the Institute and its members during my term as President. the property professional

11

CONVENTION ‘08

the property professional

DUBLIN CITY MANAGER SPELLS OUT HIS VISION FOR THE CITY THE GREATER DUBLIN AREA WILL NEED AN ADDITIONAL 220,000 HOUSES BY 2016, CITY MANAGER JOHN TIERNEY TOLD IPAV’S ANNUAL CONVENTION. AND, JUST LIKE THE WHEEL ON THE BICYCLE, THE UPTURN WILL COME HE SAID IN A WIDE-RANGING ADDRESS. THE FOLLOWING IS A SUMMARY OF HIS REMARKS.

institutes; 2) our young, highly educated population; 3) our international accessibility and 4), our vibrant cultural landscape.

But, despite having such attributes, I felt one of my big challenges was to develop a committed leadership, with a unified vision and a critical mass of influence for Dublin.

Above all this requires a clear vision of the unique strengths and future potential of the City.

This is why I have been working with others on forging a creative Dublin alliance between the local authorities, the Universities, the business sector and the private sector. I want to see a real buy in for a unified vision for the City into the future.

Dublin City Manager John Tierney addressing the Convention

I want you to come on a short journey through my world and my efforts to shape it.

As Dublin City Manager you will appreciate my focus today will be on Dublin. But first of all, I wonder how many of you know what we do in local government.

When you get up in the morning you probably engage in a flush, a wash and a rush. In all of these activities the local authority is in the background. In the Greater Dublin Area (GDA), we deal with 2.72m p.e. (500,000 cubic metres) of wastewater, treat and distribute 113m gallons of water and manage in some fashion about 500,000 vehicles per day. We collect and dispose of 340,000 tonnes of waste and deal with 123,000 fire and ambulance calls each year.

This is not to mention the Planning function or Community and Amenity functions to which I will also make reference later on.

THE DUBLIN CONTEXT When I came into the job in Dublin City over a year and half ago I asked myself a lot of questions about context and environment

12

the property professional

and about whether Dublin was reaching its potential. I noted that Dublin featured on most international benchmarks used to measure performance of cities.

But was anybody getting behind those statistics and really understanding what was being said about us? And more importantly, what needed to be done to improve the performance of the City and the quality of life of our people.

From my perspective, it was worrying that no Government in Ireland has ever espoused the cause of cities. You could say it is ironic that we have a department of state with responsibilities for the Islands but not for cities. I have been hammering home the point that Dublin is the country’s only city region and is vital as an economic driver for the rest of the country. It should not be a case of Dublin versus the rest of the country but more a case of Dublin versus other city regions of the world.

The Greater Dublin Area has many of the attributes that are the prerequisites for a modern and successful City. These include: 1) our universities and other higher education

It is also why I set up an International Affairs and Research Section within the City Council. The purpose of this section is to investigate the performance of the city and its people over a range of indicators, everything from the Creative Economy to Street Cleaning.

We will co-ordinate and use this data to facilitate plan development and performance.

In this way we are making sure we fully understand the context, particularly the global context, in which Dublin operates and are making known the contribution the City Council, the various educational and business organisations within the City and the Government need to make, to the overall working of the city.

Vision for the City In the City Council we believe the vision required for the City must be based on being a Creative and Sustainable City, with a rich quality of life and a vibe among the people that is difficult to replicate elsewhere. In this way we can be successful but still distinctly Dublin.

DRIVING THE SUCCESS OF THE CITY We are driving this vision for the city under the following headings:

CONVENTION ‘08

the property professional

The Economic The Cultural The Social PEOPLE The Environment/Sustainability The Urban Form And Movement How we meld these various elements together will be the crucial factor in whether we continue to be a successful/sustainable city in all its meanings. And all of the time people must be at the centre of our thinking.

PLANNING FRAMEWORK Based on the Census figures in 2006, we have a lot of people to look after, with 1.7m people living in the GDA. In our work on the review of the Regional Planning Guidelines in April 2007 we forecast that we would probably need another 220,000 units to accommodate the additional population of 280,000, forecast for 2016. In the Dublin area alone, this translated into a need to provide 160,000 units, with the balance of 60,000, to be provided in the mid-east.

We are all well aware that the change in economic circumstances in the intervening 12 months has been a major shock to the system. However, I think figures we set out in the RPGS for Dublin are still the correct figures to be planned for and if they are we should have belief in the future. In our history to date, in this country we have suffered from not planning ahead on a sufficient scale. Never was it more important for the Government to continue to roll out the NDP as planned and facilitate the up turn in the economy in due course.

There are a number of reasons why I think the figures still hold for Dublin. For example, the need for a strong Dublin to drive the economic growth of the country is becoming, more and more evident. The work of the Futures Academy of the Dublin Institute of Technology and their publication “Twice the Size” is a case in point.

The central plank of the RPGs is to develop a more consolidated city. Marc Coleman, the economist, has argued that up to now, growth reflected the demographic dividend, but in the future growth will depend on the density dividend. In terms of housing units per 1,000 population, Europe is at 466 per 1,000, Ireland 417 per 1,000 and the Greater Dublin Area only 395 per 1,000.

For these and other reasons I think the opportunities and the demand will still coincide within the Dublin area and just like the wheel on the bicycle the upturn will come. I believe that Dublin, as per the

RPGS, can sustain a demand for the housing units forecast up to 2016.

In Dublin City, we have a very good development plan and beneath that we have used Framework Development Plans to guide urban development. Plans have been prioritise for areas of the city that are experiencing or are likely to experience development pressure. With current and future plans we will be proofing them against the six elements I have mentioned earlier and we are asking developers to do the sam before lodging major planning applications.

We are engaged in a very ambitious project to visually represent how the city will develop into the future, using the six themes. We feel this is very important if we are to get buy in for height and density apartment living, using public transport, recycling and so on.

As part of this project we will, over time, develop a 3D model of the present city while allowing for insertion of the Framework Plans as adopted and planning applications as they arise. The intention is to create more open discussion on how our city will develop. Already we are seeking 3D presentations with major planning applications. This is proving a very useful tool in developing understanding among the councillors and the public about what is being proposed as part of developments and how it fits into the City of the present and the future.

I am going to take these six themes and talk about what we are trying to do to make Dublin successful and sustainable under these headings.

THE ECONOMIC In my slide on driving the success of the city you will have noted that I put the economic aspect at the head of the game. If we are not economically sustainable then we have no foundation for the other elements.

While we have set out our economic objectives for the City in our Development Plan, a glaring deficiency in respect of Dublin is the lack of an Economic Strategy which Government and all agencies at national level have bought into. So we have decided to do something about this. We have re-configured and given far more resources to our Economic Development Unit and we have charged them with working “Towards an Economic Strategy for Dublin.”

That if you like is at the macro level. At a more micro level we tend to use our Framework Plans as economic drivers. The plans are focusing more on mixed-use development, they attempt to build on the character of an area and, in economic terms, possibly carve out a niche for it. But the process is also very much about identity and place and allows for a community of people.

For example, Temple Bar is a community with a focus on living, on business, but on the cultural in particular.

The Retail Cores Plan concentrates on expanding the retail offer in the centre of the city. We very much welcome the redevelopment proposals that are being put forward for the North City Centre from Henry Street to Parnell Street. We are also working on expanding the offer in the Grafton Street area. These types of developments are absolutely crucial in ensuring that Dublin City Centre retains the pre-eminent position, in terms of retail offer in this country and has a sustainable central core.

Continued on 16 the property professional

13

the property professional

CONVENTION ‘08

IPAV Senior Vice-President John Shaw (left) with his wife Brigid and Richard Flynn,

Katherine Kearney-Looney (left) DNG Harris, Blackpool, Co Cork with Sasha O’Shea,

Sixmilebridge at the Convention

Timothy Sullivan & Associates, Grand Parade, Cork at the Convention

IPAV President Alan Redmond with National Council members Ray Finlay (left) and

Co. Cork auctioneers Michael Galvin, Con Nagle and Martin Kelleher were at the

Pat Davitt (right)

Convention

Explorer and motivation speaker Pat Falvey (centre) with John and Helen Little, Drogheda (left) and Desmond and Margaret Daly, Kanturk.

14

the property professional

Sean Furey and Joy Doherty, Buncrana congratulate Alan Redmond on his election

CONVENTION ‘08

the property professional

Musicians Mary Barnecutt from Hull and Rachel Du, from Malahide, both from the DIT Conservatory of Music, playing at the Convention

Daft.ie staff at the Convention (l – r): Hilda O’Brien, Anne Marie Boyhan, Sonia O’Sullivan, Carolan Long,

pre-dinner Reception

Ciaran Maher and Odhran Ginnity

Take two! IPAV National Council member Mervyn Lloyd (right) keeps an eye on

IPAV President Alan Redmond is congratulated by National Council member Martin

accountant Eoin McDermott at the pre-dinner reception

O’Mahony at the Convention

Teresa and JJ O’Sullivan, Castletownbeare, Co Cork with Margaret O’Meara of the Irish

Mark Downey, Daft.ie (left) with IPAV National Council members Paul McCourtney and

Examiner at the Convention

Pat Davitt

the property professional

15

the property professional

CONVENTION ‘08

Continued from 13

subject on the 22nd April 2008 in Croke Park. We now propose to do further rounds of consultations at Area level around the City. We are not talking about creating a Manhattan in Dublin but we are talking about developing a more sustainable city (price of oil and commuting).

With intensification, we need to be much more conscious of the spaces people are asked to occupy. For this reason and before we moved onto the height and density issue we adopted our new policy entitled: “Achieving Liveable, Sustainable New Apartment Homes for Dublin City”. The purpose of the policy is to improve the quality and choice of Apartment housing in the City.

Other Plans, such as that at Heuston, focus on the transport nodes, Grangegorman and the Digital Hub, on what we describe as the knowledge axis. We want to make the Hub an IT community but yet be at ease in planning terms with one of the oldest parts of the city.

It is also good to note that business in the City is taking a proactive approach to working with the City Council for the betterment of the City. For example, the Dublin City Centre Business Association has driven the recent adoption of the Business Improvement District proposal for Dublin City Centre. This is an example of active business citizenship.

URBAN FORM I mentioned earlier about developing a more consolidated city. Our research has shown that high density mixed use urban areas are the most successful. This is very much the focus of the recently published Departmental Guidelines.

A compact city is a connected city which in turn creates the conditions for a competitive city. A competitive City, with character and identity, supports the creative economy. A connected and creative city provides jobs; this leads to increased population and potentially strong local communities.

Economic strength and job opportunities support a vibrant cultural scene. Each attribute in turn supports another and creates the dynamic for a sustainable city.

There is no escaping the fact that we have a low-density city in Dublin. A comparison with other European Cities illustrates the point: Barcelona

16

16,000 per square kilometre

Lyon

9,500 per square kilometre

Copenhagen

6,000 per square kilometre

Dublin City

4,400 per square kilometre

the property professional

We have been rightly criticised for the urban sprawl. Think back on my figures earlier for housing demand. If we build on a Cork and Kerry to the GDA, in the same fashion as hereto, what will we do to city and country.

This is why we have been moving towards a more compact city and why we are further examining the issue of height and density.

People living in low-rise accommodation are very frightened about height in particular and we have had to be patient in explaining the benefits of our approach.

We have taken a logical and sustainable approach. We have highlighted the areas that need to be protected such as the Georgian core. But we then look at how we can and should take advantage of opportunities that will present themselves on the basis of maximising the potential of the city.

We have focused on the scope for density and height along new public transport corridors and transport hubs at Heuston and the Docklands. We have looked at prime urban centres such as Ballymun, Northside and Finglas and the knowledge areas planned for Grangegorman and the Digital Hub area around Thomas Street. Scope has also been identified in the large underutilised industrial lands in suburban locations (350 ha).

In addition, criteria are set out for other parts of the city to indicate under what set of circumstances any height enhancement might be considered. The requirements in this regard concentrate on: The strategic benefit of the high building Ensuring no adverse impact/precedent arises due to the development

Quite simply we want to create an alternative to where young couples, feel they have to go up to 60 miles outside of Dublin to bring up a family.

By improving the urban form and using innovative architecture we can deliver better quality homes, more parks, more office space, better use of public transport and a more successful economy. It will improve people’s quality of life.

THE ENVIRONMENT At the high level we are looking at developing a project called Sustainable Dublin. It is based on the Natural Steps Framework. For this year we are concentrating on getting our own house in order. Every aspect of our operations will be examined. We will then intensify our interaction with the community and with the various agencies in the city. Also we hope to take a framework development area as a pilot project and see if we can make it a carbon neutral development.

We will shortly be publishing our Energy Action Plan and we intend to adopt this plan in 2008, along with our Climate Change Strategy. We have calculated that 4.23m tonnes of carbon dioxide are emitted each year in Dublin. Our Action Plan for Dublin will set targets for energy efficiency, renewable energy and clean urban transport.

In order to reduce the CO2 emissions beyond the present level deep changes in practice and technological innovations and renewable energy sources will be required (cannot over stress importance).

Demanding architectural quality of an international standard

Regarding energy performance in buildings we have already adopted a variation to the CDP, to upgrade energy performance standards.

The report on maximising the potential of the city was on public display up to 2nd April and we held a major conference on the

On waste management, we are prioritising prevention and recycling. I want to see over 50% of domestic waste in Dublin being

CONVENTION ‘08

recycled by the end of 2009. But despite this we will still have residual waste. In the past year we made substantial progress on the planning for the WTE facility. I believe this facility is needed if we are to have a viable waste management strategy for the Dublin area.

THE CULTURAL I have touched on the cultural, in terms of certain areas of the city, being developed with a cultural focus. In the Parnell Square Plan, for example, we developed the Hugh Lane Municipal Gallery into a world-class facility and we are now about to lease the Ambassador Cinem with a view to providing a new and worthy City Library. This will also help with the rejuvenation of Upper O’Connell St. We are looking to integrate “A Museum for Dublin” into the proposals to redevelop the GPO. There are also proposals to put “A Museum for Irish Literature” in two buildings we own in Parnell Square.

Regarding the cultural element associated with Framework Plans and planning applications, we are working on a policy to enable much better interaction with Developers on the cultural element that will be required as part of planning proposals.

When Transport 21 is implemented the impacts in the GDA are estimated to be as follows: 175 million extra public transport users by 2016, 75 million extra suburban rail users, 80 million extra LUAS/Metro users, City Centre to Airport in 17 minutes, doubling of QBN length and a number of major park and ride sites on the periphery of the City.

While the DTA has not yet been established, in the interim I have set up a Transport 21 Implementation Group, consisting of the main players in the RPA, DOT, IE, DB, Business Associations, the Gardai and DCC. We meet every six weeks to ensure coordination and proper phasing is being fully considered.

We are also doing a major piece of modelling at present to help decide on how best to maintain access to the city centre during the works and beyond and we will be putting a major Contingency Plan into place during this period.

In the next 12 months we will be introducing a rent-a-bike scheme on the lines of the model you see in many European Cities. We will start with 450 bikes at 50 locations and we hope we will be able to expand on that quite quickly.

MOVEMENT/TRANSPORTATION Probably one of our biggest challenges in relation to sustainability, relates to transportation. Transport in Dublin has seen growth in the number of vehicles by 93% in the period from 1990 to 2005. This has resulted in an increase of 170% (1.1m tonnes) in CO2 emissions over the period. So we need not only to develop a more compact urban form and shorten journeys but also to get as many people out of cars as possible.

THE SOCIAL/COMMUNITY Successful and sustainable urban development, in an era of higher density, and a more mobile and diverse population, will be dependent on how we can develop the community aspect. I want to see a more community centred approach to development which will help develop involvement and more active citizenship. This is a major part of our Framework Planning process.

the property professional

We are engaged in a whole series of projects – Making Neighbourhoods (Community and Neighbourhood Development Strategy), AccessDublin and we have established an Office for Integration. We are placing a huge emphasis on Sport, Arts and Culture in building communities but also allowing for natural integration We are also trying to build sustainable communities in some of the most “disadvantaged” areas in the country. We have areas with large housing estates in some fantastic locations and yet they have not integrated into society in the way that they should.

Under our regeneration programme we have planned major public and private sector investment in addressing this issue over the next 10 years. Already we are seeing the benefits of regeneration in Ballymun and Fatima Mansions. Social, affordable and private housing is being provided, on a more integrated basis, with proper facilities. We need this work to continue apace but the current economic situation is likely to slow down delivery, at least in the short term

CONCLUSION I hope I have given you a flavour of the demands we face in Dublin and the Greater Dublin Area. I also hope that you have a feel for how, in Dublin City, we are approaching the task. I believe that we have a positive future and our biggest challenge is to contribute to a framework that concentrates on excellent place making, with people at the centre of our thinking. This is a major challenge in an era of rapid urbanisation and higher density living. If we get it right then we will have a creative/sustainable economy and society, a place with a high quality of life which people will still wish to come to.

THREE PIECES OF LEGISLATION TO REGULARISE MANAGEMENT COMPANIES Three pieces of legislation to regularise management companies, the former Taoiseach, Bertie Ahern told the Dáil on April 9 last.

Replying to Labour Deputy Tommy Broughan, he said a high-level interdepartmental committee, comprised of all relevant Departments, is working on this.

“It covers at least three policy areas,” he continued. “The committee hopes to identify the legislative measures required with respect to the multi-unit development report of the Law Reform Commission. The area covers justice, environment and company law so it will take three measures to address it.

The committee hopes to conclude its work shortly. It is a Cabinet committee with the Minister for Justice, Equality and Law Reform, the Minister for the Environment, Heritage and Local Government, the Minister for Enterprise, Trade and Employment and the Attorney General. I understand three legislative measures will be required.”

the property professional

17

the property professional

FINE & DECORATIVE ARTS PRESENTATIONS Newly elected IPAV President, Alan Redmond undertook his first official function when he presented the recipients of the Diploma and Certificate in the Fine & Decorative Arts with their parchments at a function in the Stephens Green and Hibernian Club, Dublin on Thursday, May 22nd.

The Student of the Year award went to Louise Ryan, Celbridge, Co. Kildare for her dedication and motivation throughout the course.

Both courses begin again this Autumn and anybody interested in participating should contact IPAV Headquarters waithout delay.

For further information log onto www.ipav.ie or e-mail: info@ipav.ie Student of the Year in the Diploma class Louise Ryan, Celbridge, Co. Kildare with Alan Redmond and Fintan McNamara

Diploma recipient Denise Kavanagh from the Protocol Section of the Taoiseach’s Department with Alan Redmond and Fintan McNamara

FINE ARTS CERTIFICATE FOR DUN LAOGHAIRE INTERIOR DESIGNER DÚN LAOGHAIRE-BASED INTERIOR DESIGNER EMMA WEBB WAS ONE OF THE RECENT RECIPIENTS OF IPAV’S CERTIFICATE IN THE FINE & DECORATIVE ARTS. Emma established Emma Webb Design in 1995 and since then it has acquired a reputation for design excellence and the highest standards of professional service. The practice has an extensive portfolio of contemporary and period interiors from one off projects to major refurbishments.

While recognised for her sophisticated and classic interiors, Emma Webb enjoys quirky detailing and the unexpected in her designs. Respecting the past is also an integral part of many commissions, which include the current refurbishment of the St Stephen's Green Hibernian Club beside Grafton St. Emma Webb Design can be contacted at 7 Adelaide Street, Dunlaoghaire, Co Dublin T: 01 2841487 / 087 2611070 ewebb@webb.ie

18

the property professional

Anna Maria Christofides, Rathgar Road, Dublin 6 who received a Diploma in the Fine & Decorative Arts with IPAV President Alan Redmond and CEO Fintan McNamara

PRESENTATION TO CLIODHNA IPAV President Alan Redmond made a special presentation to the former Editor of the Property Independent, Cliodhna O’Donoghue at Convention 08.

“Cliodhna O’Donoghue’s career in property has spanned over 25 years” he said. Her involvement in the property industry began when she commenced working as press officer for the Irish Auctioneers & Valuers Institute in 1981 - and we won’t hold that against her!

She edited the IAVI’s journal ‘The Property Valuer’ and became a well known figure in real estate circles.”

Cliodhna joined the Irish Independent Property Section in 1985, duly becoming Property Editor in 1987. Her many achievements during this period included a ‘Journalist of the Year’ award.

In recent years she had successfully broadened her interests from the written word into the broadcasting sphere where she had presented several property programmes on RTE and City Channel.

Outside of her journalism Cliodhna had also been an active supporter of many charities such as the Niall Mellon Trust and the Big Rig project, said the President who presented her with a Tipperary crystal Louise Kennedy vase.

Ireland

Change a child’s world for the price of your morning coffee.

Through child sponsorship you can hugely improve the life of a child in Africa and the community they live in.

Change a life. Change your own.

Simply call, text or go online:

1850 366 283 *

Text SPONSOR and your name to 51500

www.worldvision.ie *Standard text message rates apply

OSi data is transforming our world

www.osi.ie

Established in 1824 to survey the island for tax purposes, today Ordnance Survey Ireland plays a nationally vital role. Approximately 80% of all modern databases include geographical information. It is not surprising, therefore, that OSi’s increasingly diverse range of quality mapping and geographical information services underpin commercial, economic and social activities throughout the State.

The organisation’s customer base spans all sectors of the economy. It includes Government Departments and Offices, local authorities, utility companies and the construction industry, as well as members of the general public. In 2004, OSi agreed a contract to supply the Land Registry with all mapping i.e. for scales 1:1000; 1:2500 and 1:5000 for all counties in a digital format and using the ITM (Irish Transverse Mercator) Coordinate reference system and to resupply this data at agreed intervals updated with changes that would have occurred in the intervening period.

The organisation enjoys a market leadership which has been earned over many years and which is due, in no small measure, to its continuing commitment to developing new technologies, systems and approaches.

A State body since March 2002, OSi

employs over 300 staff located at its head office in the Phoenix Park, Dublin, and in its regional offices in Cork, Ennis, Kilkenny, Longford, Sligo and Tuam.

OSi has a core public service mandate to provide a national mapping service but it also has a responsibility to increase the proportion of its total revenues derived from third party sales which in recent years have shown significant growth and it is planned to grow this even more over the next three years by focusing on market innovation and delivery of ever better customer service and value.

future information services. Crucially, it will facilitate the evolution and development of many entirely new applications in a world in which technology changes on almost a daily basis.

OSi licenses the use of its data for a wide range of computer-based applications such as Computer Aided Design (CAD) and Geographic Information Systems (GIS) and licence holders are to be found throughout the public and private sectors.

OSi’s primary product continues to be mapping services. It produces urban, rural and tourist & leisure mapping at a variety of scales and provides products in digital form as well as in the more traditional paper format. In addition, the base data used to create the map series is also used to produce other products such as ortho-photography and Digital Terrain Models.

OSi’s eCommerce system is now its primary delivery process for both hard and soft copy map products.

This system has enabled OSi to fulfill its commitment to the online delivery of data by 2006. The system is being used internally and by OSi’s extensive network of agents throughout the country with the level of direct online access by the general public to view and purchase map products increasing all the time.

In 2005, OSi completed, ahead of target, a monumental task of digital mapping of the entire country. This has provided the organisation with exceptionally detailed and accurate core mapping in a robust and highly flexible way which will facilitate the development of a wide range of

Since OSi introduced digital mapping in the late 1970s it has remained at the leading edge of technological developments among its peers. Digital photogrammetry was introduced in 1992 and more recent developments have included implementation of a national Real Time Kinematic (RTK)

City Atlas Series

Dublin

6th Edition

2nd Edition

City and District Street Street Guide Guide

Á6Hã#3I6t

GPS network, the development of a new coordinate reference system compatible with GPS. At the end of last year, OSi introduced an Airborne Digital Sensor (ADS) into one of its aircraft which facilitates the capture of “Colour”, “Black & White” and “Near Infra Red Imagery” simultaneously.

In the environmental area, for example, this data can be used to track progress of disease in forestry and agriculture. Combining map data with census information can yield a highly detailed picture of the distribution of population and allow such information to be displayed graphically for marketing purposes.

Using height values captured on the rivers dataset, OSi data was used to calculate salmon stocks within the rivers and tributaries of Ireland. OSi data has also made it possible to produce the first ever “wind atlas” of Ireland. Developed by Sustainable Energy Ireland, this atlas makes available wind speeds for onshore and offshore locations and is a source reference for wind farm developers.

LIDAR technology is employed by OSi to provide height information, effectively affording customers exceptionally accurate three

T#6Z .6¦ Àã 6¦¦ %¦I;ãI

q.6 \ 66INw¦»». »q.

ã¦6H#ãã¦6 q \H 㦠٦PHqN ã¦

Á63#N »Iqã N q ¦N %#qN %I6¦N - #»IN Á6 »Mq I 6 Æ »¦¦ Á63¦; »ZI qã # ¦N »I3 ¦ ¦»¦6H¦

dimensional spatial data derived from the airborne LIDAR equipment installed in an OSi engaged aircraft.

While this technology was relatively new to OSi, this equipment has nonetheless been upgraded in recent months to the latest specification available, this new technology having the capacity to capture imagery at 150Hz with MPIA (Multiple Pulses in the Air) against a previous level of 80Hz. For the customer, this means denser data with significantly more accurate representation of features on the ground.

OSi’s digital archive of historical maps containing maps from the period 1837 to 1913, are invaluable for genealogists and historians as well as architects and engineers, who can now access historic map data for any area including both 6 inch and 25 inch mapping series. An easy to use browser facilitates searches by townland or parish and allows users to pan across the entire archive and zoom in on individual details. (www.irishhistoricmaps.ie) OSi’s Trailmaster product provides interactive mapping for outdoor enthusiasts such as tourists, hillwalkers and cyclists. Targeting selected regions of Ireland, “Trail

Master” enables users to plan and create routes using 1:450,000 and 1:50,000 mapping, aerial photography and digital terrain models. Users can create their own 3D landscapes, import and export routes with a GPS navigation system and export routes, maps and aerial photography to a Pocket PC device. (www.irishmaps.ie) OSi’s newest product, “Environmental Reports” provides reports based on OSi historic mapping and searches of data provided by the Environmental Protection Agency and the Geological Survey of Ireland. The range of data covered by these searches is vast and includes Historic Flood Plains, Historic Land Mines, Pump & Well location, Bedrock, Quarries, Karst Features, Registered Waste Licence Sites, Water Catchment Information, etc. (www.OSiSmartMaps.ie) As the above examples show, continuing developments in information technology mean that the variety of uses to which customers can put OSi data is increasingly limited only by their imaginations. It is encouraging that a 180 year-old semi-State body can still show international leadership in such a technical area as spatial information.

the property professional

DUBLIN’S COMMERCIAL RENTS ARE HOLDING UP DESPITE THE SLOWDOWN, COMMERCIAL RENTS IN DUBLIN’S TOP LOCATIONS REMAIN ON A PAR WITH LONDON, JAMES SHEPHERD OF AUSTRIAN LUXURY GOODS BRAND, SWAROVSKI, TELLS PETER CLUSKEY. IT’S old news that residential property prices in Ireland are falling. Average national prices were down 8.8 percent in the 12 months to February. Roughly 40,000 apartments are lying vacant in Dublin, most of them for sale, while the average apartment price fell 17 percent last year. But what about the commercial market? Is it as fire-proof as it seems? And how long before the property downturn spills over into the real economy?

Perhaps the first straw in the wind for the commercial property sector came at the end of January when Ireland’s three main banks were downgraded one notch by Swiss bank, UBS, due to “fears”, said The Financial Times, “that the Irish commercial property market would burst, knocking their business model.”

UBS cut its rating on Bank of Ireland from “buy” to “neutral”, and its ratings for both AIB and Anglo-Irish Bank from “neutral” to “sell”. One UBS analyst predicted - believe it or not - that commercial property values could fall by as much as 30 percent over the next two years.

Given the underlying strength of the economy, however, that looks rather pessimistic. The Jones Lang LaSalle Irish Property Index, for instance, showed that while returns were down 2.7 percent in Q1 2008, the commercial sector was sustained by rental growth - and showed a rise in overall returns of 3.2 percent in the year to the end of March.

But let’s get things in perspective: the simple fact is that property returns have increased by a massive 946 percent over the past 15 years.

WAIT-AND-SEE MOOD “Values have certainly adjusted in response to the financing and market climate”, says Margaret Fleming, Director of Capital Markets at Jones Lang. “The number of transactions in the market in the first quarter has been minimal, due to tight credit availability. And that wait-and-see mood is being perpetuated

22

the property professional

by continuing turbulence in other markets, which is lasting longer than anticipated.”

And yet the so-called real economy still seems impervious to the property slowdown.

In Dublin, the high-end barometer of Grafton Street is still booming, with plenty of businesses well able to pay its “key money” in the hundreds of thousands and rents on a par with London’s.

LOOKING FOR FRANCHISEES In actual fact Shepherd is about to find out whether that free availability of disposable income to which Swarovski has become so accustomed in Grafton Street and Henry Street is indeed replicated around the country. He’s currently looking for franchisees to open eight new stores in Dundrum Town Centre, Blanchardstown

“If there’s an economic downturn here in Ireland we certainly haven’t seen it - and we haven’t seen it in the UK either”, James Shepherd, Vice-President of Operations in Northern Europe for luxury goods brand, Swarovski, told The Property Professional.

Established in Austria in 1895, Swarovski’s accessories - in case you’re not familiar with them - graced the highest-profile leading ladies at the Oscars this year, including Best Actress, Marion Cotillard, Best Supporting Actress, Ruby Dee, and the iconic Faye Dunaway. The company had a turnover in 2007 of around €2.6 billion.

It was Shepherd - recently promoted out of his job as General Manager for the UK and Ireland - who opened the company’s two Dublin outlets, in Grafton Street and Henry Street in 2006. And he admits the set-up costs, in Grafton Street, in particular, were daunting.

“The rents are heavy”, he agrees. “You’re paying anything from €300,000 upwards which is in line with London. Also, you’re paying up-front key money which is very rare now in London. That can be anything from, say, €150,000 upwards to perhaps the equivalent of the rent. But if you want to be in the best street you have to pay.

“The good news is that rates are lower in Dublin than in the UK, maybe as much as 15 percent lower - and that’s a big saving for us.”

As to the downturn: “Turnover for the first two months of this year was 48 percent up on the same two months in 2007. It’s flying, absolutely flying. There’s a little bit of scaremongering about, I think it’s fair to say.

Things are not as bad as some people are making out …”

James Shepherd

Shopping Centre, Cork, Galway, Waterford, Athlone, Kilkenny and Newbridge.

“Swarovski has been franchising for 20 years. Across Italy, for example, we have 140 franchised stores; in the UK we’ve opened 15 since 2006. And now that we’ve established ourselves as a brand here, discussions should be much easier. We’re already liaising with a local businessman in Cork, we’re talking to someone in Galway - and we’d hope to have new stores in both cities by the end of this year.”

It’s a question of practicality. “We wouldn’t expect an independent retailer to open a store in Grafton Street. They couldn’t afford it. The risk would be far too high. That’s where our second tier of franchised openings outside Dublin comes in …

“In Cork and Galway, while rents are still aggressive, they’re much more affordable for an independent retailer. Also, the optimum size for a Swarovski store is just 65 square metres (699 square feet). Grafton Street is just 550 square feet. You pay for space but if you can only trade 50 percent of a retail unit, then the rest is redundant. That’s the key to our success: we are able to trade very, very successfully in relatively small, wellchosen spaces.”

Complete the picture with a single view of your customer... ...with BrokerCRM. The most powerful sales, marketing and back-office software for Estate Agents, Auctioneers, Mortgage Brokers and Financial Advisors.

There’s nothing else like it.

Over the last 3 years hundreds of property, financial services and mortgage businesses throughout the country have experienced the real benefits BrokerCRM can bring.

To see how BrokerCRM can transform your business contact info@brokercrm.com BrokerCRM, “Burren House”, Ballycummin, Raheen, Limerick. Tel 061 226540

Get the complete picture

the property professional

BALLINA IPAV MEMBER CELEBRATES 25 YEARS IN BUSINESS

BY TIM RYAN, EDITOR, THE PROPERTY PROFESSIONAL

Well-known Ballina IPAV member Garrett Loftus, Managing Director of Property Partners Garrett Loftus and founder member of Property Partners Ltd., recently celebrated 25 years in auctioneering and estate agency.

He has had an interest in auctioneering and estate agency from an early age which possibly stems, he says, from his late grandfather, Patrick Begley of Ballymote, County Sligo who also had a great interest in all aspects of property.

“I have extensive experience and I believe in giving personal attention and efficient service to clients,” he says. “That is one of the hallmarks of our success.”

The office has a particular expertise in the retail/commercial sector and land sales/auctions as well as residential sales.

A native of Ballina, Garrett comes from a legal family. He attended secondary school at Castleknock College, Dublin and went on to Garrett Loftus study for a Diploma in Marketing before completing a course in Estate Agency at the College of Commerce (now DIT) in Rathmines.

“I went on to work for a number of firms in Dublin including Hazley Godsil Auctioneers (later incorporated by Hamilton Osborne King), Ken Walters Auctioneers, Arnold & Partners and Wyse Property Management,” he recalls. “I got more experience in the agricultural sector with a stint working for Carlow firm, Tom Kehoe Auctioneers. With

24

the property professional

A detached two storey house at Behybaun Ballina Co Mayo for sale by Garrett Loftus this range of experience under my belt, in 1986, I returned home to open the offices of Garrett Loftus & Associates on Pearse Street, Ballina, from where I still carry on my auctioneering business today.”

The economic landscape at the time was very different to now, he recalls. Luckily, his background and experience had equipped him well in dealing with the changing face of the economy and property business over that time.

TOURIST ATTRACTIONS The town of Ballina is located 45 minutes from Sligo and one and a half hours from the city of Galway, with Dublin just three hours away. Ballina and its environs has a population of circa 12,000 and is sited just 10 minutes from the seaside resort of Enniscrone to the north.

Garrett Loftus is enthusiastic about Ballina and its many attractions. The town is built on the River Moy, famous for its salmon fishing. The world renowned “Ridge Pool” is one of the premier tourist attractions in the area.

“The warmth and friendliness of the people

is in harmony with the fresh air, clear waters and unspoiled landscapes,” he claims! Local attractions include championship golf courses, horse riding, everything for the Watersport enthusiast, lake, river and sea fishing, whilst an interest in archaeology can be satisfied with visits to the many old Abbeys in the area, not to speak of the Céide Fields which pre-dates the pyramids of Egypt and is a stone age landscape of stonewalled fields, dwellings and megalithic tombs.

As regards house prices, they never reached the heady heights of the bigger towns and cities of the West such as Castlebar, Galway or Sligo. Today, you can buy a new 3 bedsemi from €180,000 up to €200,000.

AND HE IS POSITIVE ABOUT THE FUTURE. “I feel if interest rates are to stay stable I can see things improving,” he says. “At present there is some negativity out there and the media is not helping things. But we still have a lot of local and outside interest in property in our area and I look forward to the future with confidence.”

And he has one simple request for the new

the property professional

Minister for Finance: “Stamp duty on commercial property and land should be reduced.”

Garrett Loftus is very much in favour of regulation of the auctioneering profession.

“I think it is imperative that there is proper and full regulation of the auctioneering industry,” he says. “With the buoyant property boom over the past number of years, many auctioneering firms have sprung up and unfortunately some may have given our profession some bad press. We would welcome wholeheartedly a new regulatory approach/system.”

PROPERTY PARTNERS Being a member of the Property Partners network he finds particularly useful.

“I enjoyed the challenge of being involved in establishing such a strong and progressive group. Property Partners was one of the first groups of its time set up in 1999 and I’m delighted to be a founder member & director. At the time of the formation of Property Partners some of the larger auctioneering firms were being franchised out all over Ireland. After having an overview of my own business and trying to move the business forward, I felt it was the right time to develop my own business and I am delighted with the way it has progressed.”

Nevertheless, there were, he admits, times at the early stages when it was tough going.

However, he believes it is important to be part of an umbrella group. Clients like to get maximum exposure and this is greatly aided through membership of Property Partners.

Through Property Partners’ overseas division

Pictured (right to left): Garrett Loftus, Ann Brogan, Liam Brady and Angela Sweeney

clients have access to a high network of both commercial and residential properties.

“We were the original auctioneering group that hosted property exhibitions in the U.K. and Europe and still do so today,” he says.

He also found membership of IPAV very beneficial.

“I joined IPAV some years ago and I feel it was a good step for our firm. It has been highlighted that there will be forthcoming regulation of the Auctioneering profession and this we would welcome wholeheartedly.

It is therefore very important for us to be affiliated with such a professional and

renowned body as IPAV and this, in turn, will give more confidence to the general public. The education and support systems within the IPAV are essential to a professional auctioneering firm such as our own.”

Outside of work Garrett enjoys family life.

Married to Angela, the couple have twin girls, Clodagh and Leona, aged 21/2 years.

His main sporting interests are rugby, football and golf. A past President of Ballina Rotary Club, Garrett also likes to be involved within the community to help in any way he can to better the area.

WHAT A DIFFERENCE 21 YEARS MAKE

the property professional

25

the property professional

HELPING PROPERTY OWNERS IN THE SOUTH OF FRANCE FORMER MICHELIN-STARRED RESTAURANT MANAGER, KATHERINE GARNIER, TALKS ABOUT HER NEW BUSINESS HELPING IRISH PROPERTY BUYERS IN THE SOUTH OF FRANCE.

BY PETER CLUSKEY OVERSEAS property buyers constantly underestimate the cultural and linguistic difficulties of moving to a foreign country, even one as “familiar” to us as France.

We don those famous rose-tinted specs, dismiss all practical considerations with a casual “sure it’ll be alright” - and very often it’s not alright at all.

Language, of course, is the most obvious hurdle. Perhaps we subliminally expect all French people to speak a charming Inspector Clouseau-style brand of pidgin English but it’s quite amazing how many Irish arrive in France barely able to order a cup of coffee much less discuss the pros and cons of planning permission with officials at their local Mairie.

a different country.’ It often takes a while for that to sink in.”

Katherine Garnier was born in Ireland and first came to France in the early Seventies.

She met and married a French engineer and moved to Nice where their daughter, Lindsy now in her late 20s - was born.

PATRICK GUILBAUD In the late-Eighties, she returned to Dublin where she joined Michelin-starred French chef, Patrick Guilbaud as Front of House Manager at his new restaurant … and there she remained for the next 20 years.

But her love of France never left her, and now she’s back in Nice, in the process of setting up a new business which will advise and help foreign property buyers wise enough to recognise the value of someone who speaks the language and knows the local ropes.

And by the time the penny drops and they realise they’re not even going to be able to get the electricity connected on their own they’re badly in need of a helping hand. Just as well then that Katherine Garnier is standing by.

Garnier has teamed up with engineer, Bruno Miraglia, whose family have run a wellregarded building business on the French Riviera for the past 50 years. “I suppose you could say they’re the Sisks of Nice”, she laughs.

“People in trouble ring me up in a panic, tell me about their crisis and say: ‘We don’t understand it, that’s not the way it works back home in Ireland.’ And I reply: ‘Of course it’s not. You’re not in Ireland now. France is

“I came over here temporarily in mid-2006 to sort out a problem some Irish people were having with their architect. Their building project wasn’t going ahead as it should have been. Things were being done incorrectly and of course when they had to

be changed that cost more money and wasted more time. People were disappearing off site … the usual.

RIPPING OFF FOREIGNERS “When I told Bruno the story, first of all he was mortified that his fellow countrymen were ripping foreigners off - but also he was very interested in the idea that someone with a little local know-how could channel foreign buyers towards reliable professionals and artisans, help them find suitable properties and support them if they got into trouble. Now that’s what we’re doing.”

Irish investors have been buying into Nice at all levels, Garnier told The Property Professional.

“You have the real high-fliers in seriously big, expensive, villas out on Cap Ferrat and towards Monaco. You have people with families who’ve bought large apartments and villas around Nice, places for around €800,000. And then you have investors who’ve spent €120,000 on a studio as a rentable holiday pied-à-terre.”

But no matter how much you’re worth, you can still get into difficulties.

“There were people recently who bought an apartment and had it rented out through a local agency. But the agency shut down and suddenly they were at a complete loss. They couldn’t speak French to the tenants, they didn’t know how to find a new agency and someone different seemed to answer the phone every time they rang the flat. That’s the sort of thing that can happen to anyone - and it really pays to have some help on the ground.”

Contacts: Katherine Garnier T: 00 33 493 143241 or ksgarnier@hotmail.com

26

the property professional

the property professional

WHAT’S IN A NAME? What indeed is in a name? Shakespeare claimed that ‘a rose by any other name would smell as sweet’. It is true that the nature of any object does not change by merely altering its name.

members. They have little to do with protecting the public.

from attaining professional status and all the benefits that go with it.

I think this view requires closer examination.

Notwithstanding this, lately I have been a little occupied with the business of education and standards of performance.

And, before you cast the magazine aside, I ask that you take time to consider the following:

At the outset, it is important to realise that we are all controlled in some way by central Government. Laws and regulations exist to ensure that, as citizens, we can expect some kind of level playing field in our dealings with each other and the State. We are all expected to live our lives within these rules and regulations as citizens of the state. The laws take primacy over any personal or professional concerns.

There is also the fact that self-regulation means that rules and regulations can be made, altered, amended or whatever, much quicker than by government or government agency. In short, there is greater flexibility in the self-regulating system.

Whither IPAV? This is a challenging question, given the times we are living in.

Consider: there is a freeze in the market; while this is not new, it is difficult for professionals to adjust, given the unprecedented activity in the market hitherto. Also, the Government’s determination to regulate the industry is evidenced by the establishment of a Regulatory Authority (RA). There are, consequently, many questions that need addressing. For example:

What is the future for IPAV (and indeed IAVI)?

Will the new authority replace them?

Will they co-exist and if so why join any of the existing bodies?

Will the new authority deliver a better service to the public?

Will professional standards improve?

I am aware that there may be other, perhaps more significant questions to be asked but I would like to address the issue of regulation and, particularly, the benefits of selfregulation.

While many may see the creation of a new RA as a panacea for all the perceived ills of the profession of estate agency, let us exercise caution here.

While there is a deal of scepticism about professional representative associations (not just IPAV/IAVI), there can be little doubt that the existence of such associations has contributed greatly to the public good.

Criticism of self regulation is common. The arguments generally centre on monopoly and self advancement. According to this view, professional associations exist to limit the number of practitioners and increase the wealth of those lucky enough to be

28

the property professional

SELF-REGULATION

There is also the phenomenon where groups of people involved in common activities band together to regulate the activities of its members. When this occurs it is common for the group to develop, implement and enforce various rules that are designed to protect the public by ensuring that the service provided by its members is delivered in a competent and ethical manner. This is undertaken within the confines of state law.

While it might be argued that in the past this was an act of protection for the profession itself, there is little doubt that the emphasis has shifted significantly in the 20th and 21st centuries. Consumer legislation - both Irish and EU - has underpinned the change. Today, there is a strong interest in promoting professional standards to ensure that the public interest is best served.

To achieve this goal, professional selfregulating associations generally set standards for entry to the association; set standards for practice; create rules for when and how members may be removed from the association. They also make submissions to government, often in the public interest.

BENEFIT OF SELF-REGULATION There is a great deal to be gained from selfregulation.

Central control is not always a good thing.

It can be dead handed! Self-regulation provides autonomy, prestige and control to the profession concerned. Prestige comes

Government also benefits substantially, in so far at it is exempted from the expense of having to hire consultants and other experts to develop rules, regulations and standards that are unique to each profession.

In this way costs of regulation are transferred to the regulating body itself.

Furthermore, the Government is insulated from malpractice or breaches of regulations by individual members of the association.

In short, those who support the idea of selfregulation believe that those involved in practice are the best positioned to set standards and evaluate their implementation.

In common with all bodies, IPAV sets standards for entry; describes the requirements for practice of the profession; has a disciplinary process; monitors the on going competence of its members.

The question now facing estate agents is whether the new RA will set standards that the professionals themselves expect and have worked hard to establish in a very open environment? A further question also arises: will the new authority be able to police the regulations?

Whatever the answer to these, it is hoped that the authority will recognise the work of organisations such as IPAV and IAVI in regulating and professionalising the business of estate agency by setting high standards for entry to the profession at all levels. Most of all, I hope that the new authority will formally acknowledge the basic principles and benefits of self regulation and will not attempt to usurp the role of institutes like IPAV. In short, do not throw out the baby with the bathwater.

What’s in a name? Everything, dear reader!

/Ŷ ƚŚĞ ĐƵƌƌĞŶƚ ŵĂƌŬĞƚ͕ ŝƚ ŝƐ ŝŵƉŽƌƚĂŶƚ ƚŚĂƚ LJŽƵƌ ƉƌŽƉĞƌƟĞƐ ĂƌĞ ǀŝĞǁĞĚ ďLJ ƚŚĞ largest possible audience͘ tŝƚŚ ƚǁŽ ĂŶĚ Ă ŚĂůĨ ƟŵĞƐ ŵŽƌĞ ǀŝƐŝƚŽƌƐ ĞĂĐŚ ŵŽŶƚŚ ƚŚĂŶ ƚŚĞ ŶŽ͘ Ϯ ƉƌŽƉĞƌƚLJ ǁĞďƐŝƚĞ͕ ƚŚĞ ŝŶĐƌĞĂƐĞĚ ĞdžƉŽƐƵƌĞ ŽŶ ĂŌ͘ŝĞ ǁŝůů ĂƩƌĂĐƚ ŵŽƌĞ ǀŝĞǁŝŶŐƐ ĂŶĚ ĞŶƐƵƌĞ ƚŚĂƚ LJŽƵ ĚŽŶΖƚ ŵŝƐƐ ŽƵƚ ŽŶ ƉŽƚĞŶƟĂů ďƵLJĞƌƐ͘

/W s ŵĞŵďĞƌƐ͗ ƉůĞĂƐĞ ĐŽŶƚĂĐƚ ƵƐ ďLJ :ƵůLJ ϭϱƚŚ ƚŽ ĂǀĂŝů ŽĨ ŽƵƌ ƐƵŵŵĞƌ ŽīĞƌ ĂǀĂŝůĂďůĞ ĞdžĐůƵƐŝǀĞůLJ ƚŽ LJŽƵ͘ dĞů͗ Ϭϭ ϰϮϭ ϴϳϬϬ Žƌ ĞŵĂŝů͗ ĂĐĐŽƵŶƚŵĂŶĂŐĞŵĞŶƚΛĚĂŌ͘ŝĞ

propertyplus www.propertynews.com

Property shines every Friday

Don’t miss propertyplus, your weekly glossy magazine, packed with property listings, private tours, interior design features, landscaping advice, sales results and much more.

Free inside every Friday