by Jennifer Long and Julie Smyth
The developers of the city's North Quays have said they remain committed to the multi-million project - and will furnish evidence of their funding to Waterford council this afternoon.
It's been confirmed by Falcon Real Estate this morning (Thursday) that they have not, as yet, lodged funding for the project, despite a request from Waterford council to do so by May.
Throughout the week, speculation had been mounting that there would be no contracts signed for the development by a deadline of this weekend.
Responding to the situation this morning, Rob Cass, Director of Falcon, told Damien Tiernan he was "surprised" there now appeared to be "pre-marriage jitters and misunderstanding" over the company's position on the development of both the north quays and Michael Street.
But he also conceded that Falcon had not, as yet, lodged the money they had been asked for.
He said they would be providing 'funding evidence' to the council later today in the form of a term sheet and it was up to the council then "to choose if they want to move forward" with the private company.
He also said it could be 30 days, or longer, before the private funding is lodged.
Council Statement
This afternoon, Waterford city and county councillors were briefed by Council CEO Michael Walsh on the current state of play regarding the development for which the sum of 110m in State funding has already been guaranteed.
In a short statement which can be heard below, he said it was 'unlikely' the development would go ahead in partnership with Falcon Real Estate, as he was not confident the company would meet the preconditions of the contract.
However he noted Mr Cass's comments this morning that a Term Sheet was to be furnished to the local authority this afternoon. The following statement was then released:
Over recent months the Council extended the contract to May 15th, 2021 with Falcon Real Estate Development Ireland (Falcon) for the North Quays to allow the developer (Falcon) time to put in place the necessary funding for the project, given the obvious constraints imposed by the Covid 19 pandemic. It is our view that it is unlikely that Falcon will be in a position to satisfy the contract preconditions in respect of funding, albeit we are informed that funding proposals will be submitted later today or tomorrow. As previously advised at our Council meetings, the rescission date under contract is Saturday, May 15th. In the circumstances we would not propose to comment further until Monday next.
Michael Walsh will brief councillors again on Monday.
Political Reaction
The issue was then raised in the Dail by Sinn Fein TD for Waterford David Cullinane (audio below). He asked the Tanaiste for 'breathing space' to find alternative investors should the relationship between Falcon and the Council breakdown.
Leo Varadkar said he was not aware of any difficulties but the government was fully supportive of the project and while he could not commit to a 'limitless' timeframe they would give time and space to allow alternative funding to be found if that is what is required.
Speaking before the interview with Rob Cass this morning, Minister of State Mary Butler had acknowledged she was aware there "may be" some difficulties with the current developer - but said it was important to keep a positive slant.
"I did speak to (Housing) Minister Darragh O'Brien this morning and he assured me he was happy to speak to (Council CEO) Michael Walsh at any stage and that the Government is still supportive of the process," she said.
"If it was the case (that there are difficulties with the current developer), we would all work together to see if a different developer would be found."
Mary Butler said there was "absolutely no reason" that the development of office blocks, apartments, hotels etc on the site couldn't still happen. She said it was important that if the original contracts are not signed this week, that we look at a "plan B" and try to bring more investors into Waterford.
Meanwhile, also on Deise Today this morning, David Cullinane, SF TD for Waterford, spoke about the uncertainty on the situation with Falcon.
He said "trojan work" had been put into securing the State investment of 110 m for the project and a lot of pressure had been put on Oireachtas members to make sure this had happened.
The Sinn Fein TD said there was an onus on the developers now also to put money on the table in a "real and significant way", although he had also been reassured by the Housing Minister that whatever happens, the State commitment to the site still "holds firm".
Listen back to all the developments as they unfolded here:
You can listen back to the Rob Cass interview on Deise Today this morning by clicking below here...
You can listen back to Minister Mary Butler, Sinn Fein TD David Cullinane and councillor Eamon Quinlan speaking earlier on the issue, meanwhile, by clicking this link...
