Cost Effectiveness of Modular Home Option Merits Scrutiny

April 19, 2016

Last October Minister Alan Kelly announced that modular homes at a cost of €75,000 – €100,000 per unit would house homeless families by Christmas.

Instead these homes took six months to complete and came in at an estimated cost of €250,000.

This is an exceptionally high cost given that this does not include land acquisition or development levies.

Cian O’Callaghan, our Councillor in Fingal, recently published two articles in The Journal and Broadsheet (and a follow up here) on the issue.

He said:

“Given the ongoing housing crisis it is essential that cost effective methods of delivering much needed emergency housing are utilised. This will maximise the number of homeless families that are taken out of overcrowded and very costly hotel accommodation. There are two steps that should be taken immediately to address these spiralling costs:

  • A cost effectiveness analysis should be carried out to determine the most effective method of delivering accommodation for homeless families
  • The tendering process for emergency homeless accommodation should be opened up to allow small and medium contractors to tender to bring costs down”