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10 Oct 2025
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10 Oct 2025
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Lower Main Street, Letterkenny
Letterkenny has been added to the Living City Initiative (LCI) - the national programme which supports the enhancement of older housing and commercial properties.
The initial scheme applied to specified Special Regeneration Areas in Dublin, Cork, Limerick, Galway, Waterford, and Kilkenny. The aim of the LCI is to regenerate historic city centres and tackle property vacancy by incentivising property owners to refurbish and convert buildings.
The LCI will be extended to December 31, 2030, with tax relief on qualifying regeneration projects to apply to properties built before 1975.
Welcoming the inclusion of Letterkenny in the programme, Donegal Minister of State, Charlie McConalogue said: “This is an excellent opportunity for the owners of older houses and commercial buildings in Letterkenny to revamp and redevelop their properties. Letterkenny has many commercial properties in the heart of the town that are 50 years old and older. Hopefully, the Living City Initiative will incentivise their owners to engage with the scheme.”
The LCI has been amended to support the use of "over the shop" premises for residential purposes; where the works are carried out by enterprises and the maximum amount of relief available will be increased from €200,000 to €300,000. Greater flexibility is expected to be provided on the time over which the relief can be claimed.
“The Living City Initiative has the potential to breathe new life into the centre of Letterkenny, while also providing much-needed living accommodation in the spaces above the residential units,” the Minister of State for Sport and Postal Policy added.
“In 2021, €18 million was allocated for the regeneration of Letterkenny Town Centre - this funding was earmarked to revitalise the Market Square, the Cathedral Quarter and the Old Courthouse. Just last month, Donegal County Council was allocated €7 million to transform the old Letterkenny Courthouse into a multi-functional education, entertainment and culture centre. I hope that projects like this will serve to act as a catalyst for future investment and redevelopment of older properties in Letterkenny.”
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The other regional centres that have been added to the LCI under the National Planning Framework are Athlone, Drogheda, Dundalk and Sligo.
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