Tranche 2 - Mooncoin Social Housing Project
Progess Update - 14th February 2019
Work has progressed on all 6 houses, as per the pictures attached. The internal works are ready to go, but are just waiting for the windows and doors to be installed. The windows and doors are all ordered, and manufactured and expected to be delivered and installed in the coming 1-2 weeks. Other than this all the roof works are complete and boundary works are completed and the properties are ready to go as soon as the windows and doors are installed. This will be followed by the following works:
- M&E First Fix
- Slab & Dab - Plaster works
- Carpentry - internal doors, frames and architraves
- Surfaces - floor finishes, tiling etc
- M&E Second Fix
- Sanitary ware
- Painting etc
These should all follow on quite quickly once the doors and windows are installed, and as such, we would expect that the units will be completed within 3-4 months of becoming weather tight. This is assuming all orders etc go to plan and there are no major issues with shipping and customs in Ireland and Europe in general.
Site Visit - 9th of May
A site visit was carried out on the 9th May. As of that date, all block work and external plastering was complete. Windows and doors have been fitted in all 6 houses, with internal walls in the process of being finished.
Completion is expected in c. 12 weeks, with the Council having a role in the final fit out as they provide the new tenants with a budget for white goods etc.
Site Visit - 19th of June
A site visit was carried out on the 19th of June by our CEO, David Jelly. At that stage, all external work on the block of 4 houses had been completed, with the other 2 houses nearing completion.
We have been advised by the developer that all the ground works around the houses will be completed within the next week. Internally second fix plumbing and electrical work is progressing and kitchens and fireplaces will be fitted shortly. At that stage they will be ready for hand over to the Council. The Council are anxious to take possession as soon as possible. Again we expect builders holidays to delay the process slightly, but we expect completion well within the term of the loan.
The term of this loan is for 12 months from first utilisation, and as such, it must be repaid with interest by the 21/12/2019.
Irish Water Delay
- The repayment date for Mooncoin is the 21st of December 2019.
- The development is currently facing a delay in securing a connection date with Irish Water. We are satisfied that the issue will be resolved within 3 months.
- Delays to Irish Water connections have become a common issue across residential development sites nationwide as can be seen in this Limerick Post article.
- Notwithstanding such, Property Bridges is working on finalising a refinancing option with a new lender who will take over the loan, allowing the investors to be paid back on time.
- In the event that the refinancing does not complete, the loan will be extended by three months with investors receiving the current interest rate plus an additional 1% pa.
Irish Water Delay - 2nd Update
In our last correspondence, we informed lenders about the delay to this project, which has been caused by Irish Water. The project is now expected to complete by the end of March. Please see the latest QS report outlining the issue with Irish Water and the amended construction program. Please note that some pages have been removed to protect sensitive price information.
Currently, Property Bridges has a refinance option negotiated with another lender which we expect to drawdown before the 31st of January 2020.
In the event that the refinancing does not complete, the loan will be extended by three months with investors receiving the current interest rate plus an additional 1% p.a. for the extended period.
We apologise for this delay and for any inconvenience it may have caused.