The Department of Integration has said that an assessment is under way following an offering of accommodation for international protection applicants at the former Great Southern Hotel in Rosslare, Co Wexford.
The statement said that if the contract was agreed, it is hoped that the property could accommodate 400 people on a phased basis.
There is an existing direct provision centre in Rosslare, and Ukrainian refugees and asylum seekers are living in a number of hotels in the area already.
The department confirmed that 555 international protection applicants are accommodated across the county, 90 of whom are in Rosslare.
There are 196 people being offered temporary protection in Rosslare currently.
"The Government is aware of public interest and questions regarding the arrival of those seeking international protection.
"The minister recognises that services across the State are experiencing an increase of demand as a consequence of the number of new arrivals. However, due to the scale of those continuing to seek refuge, the department will continue to consider all offers of accommodation made to provide shelter, and prevent homelessness.
"A Community Engagement Team has been established to engage directly with elected representatives, relevant Local Authorities, Local Development Companies, and other entities and/or individuals where relevant or appropriate."
In an email to public representatives in Co Wexford, a spokesperson for the Community Engagement Team at the department said that exact numbers of international protection applicants will not be known until all works are completed and the property is inspected.
"We anticipate that it will be ready by the end of the month and that approximately 170 people will be in a position to move in as part of a phased move.
"It is likely to be male adults in this first phase given the shortage of accommodation for this cohort. The accommodation will be of a high standard and we anticipate that the facility will be well-managed. A full briefing will be prepared when details have been agreed and will be shared as soon as possible," the email read.
Leas Cathaoirleach of Wexford County Council Ger Carthy told RTÉ News that there had been no communication with people in Rosslare and the wider community before this email yesterday.

He said that he was not aware of any community engagement taking place and most of the information to date has come from those on site, where he said a number of beds were being moved into at present.
"It's disturbing, concerning and quite sad that the department that recognised the contribution of the people of Rosslare when the bombs rained down on the people of Ukraine, who opened their houses, raised €120,000 for people when they came into Rosslare Europort with clothes, petrol vouchers, accommodation and accepted 200 people into their community, including 100 IPAS candidates.
"Rosslare has done its bit, and we're led to believe that there could be up to 400 more people now.
"Rosslare has two gardaí, no GP services, a school that’s at capacity. The department don’t care about wrap-around services and Rosslare harbour can’t take anymore."
"We need strong leadership now," added Mr Carthy.
He said that 400 additional people in the community would mean that asylum seekers or refugees would represent an increase of over a third in population, with "little to no services" in addition to this to address what he described as shortcomings.
Mr Carthy described the move as "over-saturation", speaking about the need for community facilities, social protection, public realm, integration and social inclusion.
"Without a community engagement team set up, the department is putting the cart before the horse and this may have worked a lot better if the department came to us two months ago to say that they were considering accommodating people in the facility, to get the views of people and ask the community what they need to help and support integration.
"They’ve done the dealing behind closed doors, and it’s a smoke and mirrors approach, and the people of Rosslare are told to put up with it."
He explained that before this more, there was hope in the area that the hotel would be used as a 90-bed nursing home with 25 independent living facilities.
The hotel itself, he said, had been derelict for over a decade and had gone through the hands of a number of different developers during that time.

A public meeting was held about the future of the hotel site in recent weeks, and another is now planned for Sunday following this new information.
Mr Carthy said that locals want to explore a number of options on how best to deal with this but needed clarification from the department on a number of issues, particularly in relation to the work of the community engagement team.
He added that he expected a large crowd to attend the meeting.
Speaking last night on RTÉ’s Upfront with Katie Hannon, a volunteer with Friends of Ukraine in Rosslare, Bernie Mullen, said that she expected more than 400 people to be living at the former hotel if the plan goes ahead.
"We genuinely feel that it’s not fair and it’s too much to ask of a very small community, without the services," she said.
National Coordinator of Places of Sanctuary Ireland Tiffy Allen, who works with international protection applicants and those seeking temporary protection in Rosslare, told RTÉ News that the schools in Rosslare in particular had been "outstanding" in welcoming new international students.
She said that they had embraced diversity as a school community and she expected that spirit to continue.