The Minister for Housing, Planning and Local Government Simon Coveney has designated 34 hectares of land in Dublin city centre as a Strategic Development Zone (SDZ).
The decision for the land at Poolbeg West in Dublin 4 will provide for much needed housing in the city with planning for developments to be fast-tracked.
The area includes the Glass Bottle site, which has remained idle for some years. The site was bought for over €400m in 2006 but is now worth just about €50m.
Dublin City Council said the area has the potential to provide up to 3,000 new homes.
"In addition to this critical housing need, the designation of the lands as an SDZ will also provide for a wider range of employment opportunities and social infrastructure such as schools, for example," Dublin City Council said.
"This new designation clears the way for a range of opportunities including major residential development with a potential for up to 3,000 badly needed new homes close to employment and services," commented Minister Coveney.
"In addition there will be commercial and employment activities including, office, hotel, leisure and retail facilities - all of which will provide much needed jobs opportunities," he added.
Speaking on RTÉ's News at One, Minister Coveney said the Cabinet has agreed to designate the 34 hectare site in central Dublin as a Strategic Development Zone to allow for the fast-tracking of the project.
He said the plan marked a "new chapter" of quality, community building and would go ahead after the design is finalised by Dublin City Council.
He said it would be a mixed housing project - and that the Government hoped to provide more than 10% as social housing.
The project will be designed and led by Dublin City Council, NAMA and Dublin Port.
He said a new bridge across the River Dodder would be required to access the site.
Councillors to demand 30% of Poolbeg Glass Bottle site for social housing
Dublin city councillors will be demanding that at least 30% of the housing on Poolbeg's Glass Bottle site is given to social housing according to the head of the housing committee Sinn Féin Councillor Daithí Doolan.
Cllr Doolin said that the remaining 70% of units should be divided between affordable, cost rental and private.
"We want homes to meet the needs of the city as distinct from the needs of developers or builders. That’s what got us into this position to begin with".
Meanwhile a local group has been formed in Ringsend - Save The Glass Bottle Land - demanding that all 3,000 units are earmarked for social and affordable housing.
Spokesperson Anna Mooney said that many families in Ringsend have been driven out of the area because of rents driven higher by the presence of Google and other IT companies and the lack of social housing.
The city council's executive manager for planning Jim Keogan said it is likely that the legal requirement of 10% social housing would be increased for the glass bottle site.
But he said there is shortage of housing at many levels in Dublin and any increase in housing will have a "domino effect" in alleviating the problem of homelessness.
