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Inishowen property crash revealed 15.09.09

Planning requests down massive two-thirds

by Linda McGrory

THE extent of Inishowen's property crash is today revealed in new figures showing that planning applications in the peninsula have plunged by a massive two-thirds since the height of the boom.
A total of 2458 planning applications were submitted to Donegal County Council from the peninsula in 2006 as the property bubble ballooned.
This compares to just 380 applications submitted in the first half of this year. If this trend continues, there could be fewer than 800 applications submitted for the whole of 2009 - a drop of more than two-thirds since 2006.
The figures released to InishowenNews.com by Donegal County Council indicate that the heat rapidly came out of the property market in the peninsula and that, perhaps, the first signs of the downturn could be seen here.
Planning applications fell from 2458 in 2006 to 1899 the following year - a drop of 559.
This downward trajectory continued in 2008 when just 1102 applications were received by the local authority from individual builders and developers.
In fact, there were 461 more applications submitted in the first half of boom year 2006, than the entire year 2008. The figures also show a staggering drop of more than three-quarters in planning requests from January - July 2006 compared to January – July 2009.
A spokesperson for the planning section of Donegal County Council said the figures were reflective of the recession.
"The reduction in the volume of applications is reflective of the economic downturn and appears to be consistent with national trends." The spokesperson also said the local authority was facing major challenges as a result of the deterioration in the national and local finances.
"The economic downturn continues to have significant implications for Donegal County Council and it is currently engaged in the delivery of proposals to reorganise the management of council services to deal with reductions in staff numbers, reductions in budgets and the change in the number of electoral areas from six to five. This work involves ongoing consultation with the various parties, including staff, unions and members," the spokesperson added.
These latest planning figures follow a recent survey showing a similar trend for the county as a whole. Around 9,352 planning applications, including Inishowen, were lodged in 2006. The number of applications fell to 7,579 however, the following year, and to 4,880 in 2008. The figures show that by the end of July 2009, Donegal County Council had received just 1,769 applications compared to 5,787 for the same period in 2006. Analysis of the figures show that, at the height of the property boom, the Inishowen Electoral Area accounted for more than a quarter of the total planning applications submitted to the local authority.

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