Council seeks solutions for Lissywollen plan following Roadbridge receivership
Westmeath County Council has confirmed that it is in discussions with Alanna Roadbridge Developments Ltd., to find ways to proceed with the construction of the 576-home strategic housing development and major new road at Lissywollen, Athlone, following the appointing of receivers to Roadbridge Holdings Ltd, last week.
Roadbridge Holdings Ltd., is part of the Alanna-Roadbridge joint venture, working on the Lissywollen development which was granted planning permission by An Bord Pleanála in June of last year, and is the largest residential project ever proposed for Athlone.
In response to a query from the Westmeath Independent this week on the status of the Lissywollen development, in light of the appointment of receivers to Roadbridge, Westmeath County Council issued the following statement:
“Westmeath County Council is aware that Roadbridge Holdings Limited, part of the Alanna-Roadbridge Joint Venture working on the Lissywollen Housing Development in Athlone, has appointed receivers.
“The procurement documentation provides for an event such as this, and there are a range of remedies that can be pursued that would facilitate the continuation of the project.
“In this regard, the Council has been in discussion with the Joint Venture to determine the potential solutions to the situation with a view to proceeding with the project.”
At a meeting of Westmeath County Council in February, Director of Services, Cathaldus Hartin, told members that work on the construction of the first phase of the Lissywollen project – a new link road connecting the Ballymahon road with Garrycastle - could commence “in the coming year.”
It was originally anticipated that work on the proposed link road, known as Lissywollen Avenue, would commence before the end of 2021, but the council subsequently said there had been a delay in finalising “complex negotiations” between itself and Alanna Roadbridge Developments Ltd.
The Lissywollen development, on a 17.6 hectare site alongside the existing Brawy housing estate between the Scoil na gCeithre Maistri Gaelscoil and Garrycastle, involves the construction of 285 houses and 291 apartments and duplexes that are scheduled to be built in several phases over a number of years.
A total of 174 of the Lissywollen units are due to be sold to the local authority as social housing, at a provisional construction cost of €54 million, with the remaining 402 housing units to be sold on the private market.
The appointment of receivers from Grant Thornton to Roadbridge Holdings Ltd. sent shockwaves through the entire construction industry when it became known late last week.
The receivership sees 630 jobs in Ireland, the UK and Sweden under threat, with large numbers of sub-contractors also caught up in the fallout.
Roadbridge owes in the region of €35 million to Bank of Ireland, but it is also understood to have trade liabilities totalling in the region of €40 million which are owed mostly to sub-contractors, suppliers and other businesses.
Alanna Homes was not available for comment, whilst a spokesperson for the receivers, Grant Thornton, declined to comment.