Landowners owe more than €3.6m in penalties for derelict sites in Limerick

MORE than €3.6m of derelict site levies imposed by Limerick City and County Council over the last four years remain uncollected, new figures have shown.

And there are 72 legal cases pending.

The local authority imposes these levies as a penalty on the owners of land and buildings left in a derelict condition.

Often calculated at 7% of the annual rates demand on a building, it’s there to discourage the hoarding of buildings, and instead encourage development.

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At this month’s full local authority meeting, Newcastle West councillor Michael Collins asked for details of how much has been sought for derelict sites, the total sums paid and the number of proceedings taken in the district and circuit courts.

In a written answer from financial accountant Irene Griffin, he was told a total amount of €3,610,847 is outstanding.

Cllr Collins was also told that some €4.7m has been invoiced with €1.9m collected by the local authority officers.

Payment is normally issued following a derelict sites notice sent by council.

“If payment is not received within two months of getting a notice, or if there is no approved payment plan, interest is charged at a rate of 1.25% per month on the outstanding amount,” stated Ms Griffin.

She added: “Where the derelict sites levy is due and owing, the local authority will take further action including placing a charge on the relevant urban land. Limerick City and County Council currently has 72 legal cases pending.”

Placing a charge on the land refers to attaching an unpaid levy to the property title.

It means, even if the ownership of the land changes, the debt remains with it.

It means any new owner would be liable to pay that debt.

Derelict sites are designated so, if the building or land is considered neglected, damaged, dangerous, or detracts from an area’s look.