Appeal No. VA95/4/003
AN BINSE LUACHÁLA Fastnet Mussels Limited APPELLANT RE: Factory at Map Ref: 7Ac, Townland: Gerahies, E.D.
Glanlough, R.D. Bantry, Co. Cork B E F O R E JUDGMENT OF THE VALUATION TRIBUNAL Fastnet Mussels Limited are the rated occupiers of the premises which is located at Gerahies pier circa 8 miles south west of Bantry, on the north side of the Sheeps Head peninsula, facing north into Bantry Bay. The property consists of a mussel processing factory built in the last few years. The three acre site was purchased for £12,000 in 1984 and the factory cost £200,000 to build and equip. The accommodation and other rateable items in the submission of the Valuation Office were described as follows:- Offices on First Floor 1,662 sq.ft. Mr. Frank Ryan in his submission for the appellants described the premises
as follows:- The subject premises were inspected and revised in 1994. In November, 1994 the Valuation List was issued and the rateable valuation was assessed at £130. The appellant then appealed to the Commissioner of Valuation and an appeal valuer inspected the property. On 15th September, 1995 the Commissioner of Valuation issued his decision leaving the rateable valuation unchanged. The appellant on 19th September, 1995 appealed to the Tribunal. Grounds of Appeal: Mr. O'Connor for the Valuation Office submitted that no claim for exemption
had been made in the appeal before the Commissioner of Valuation and that
on the basis of previous decisions of the Tribunal it was precluded from
making a determination on this issue. Mr. Ryan did not contest these submissions
of the Valuation Office. Furthermore Mr. Ryan did not make any submissions
of a legal nature to ground an appeal for exemption of any portion of
the premises. Mr. Ryan did make a submission that a market valuation would
not allocate any valuation specifically to the tanks and the horse power
of the machinery. Accordingly, the only issue for determination by the Tribunal is the quantum of rateable valuation for the premises. The Valuation Office submitted a valuation on the following basis:- Add:- Mr. Ryan on the basis of his description of the premises submitted a
valuation on the following terms:- The essence of Mr. Ryan's evidence and submissions were that the subject premises were located in a remote rural area of west Cork. Access to the premises was by means of a narrow country road and the premises were located in rocky sheep grazing country. He argued that any hypothetical tenant would take this factor into account in paying rent for the premises. In support of this argument Mr. Ryan submitted details of two premises. Firstly, an IDA factory had been constructed in 1981/82 consisting of 20,000 square feet. This premises had been constructed in the better commercial location of Bantry town but an occupier had not been secured for it until October, 1995. This indicated according to Mr. Ryan the lack of commercial activity in the area. The second premises was a factory at Gortnagrough 2 miles north of Ballydehob. This property contains gross area of 8,242 square feet and was sold in 1994 for £76,000. Mr. Ryan contended that a sale price of £9.20 per square foot justified a market rental of £1.00 per square foot in rural west Cork in November, 1988. Mr. O'Connor in his comparative evidence gave details of a number of industrial premises in west Cork. Under cross-examination by Mr. Ryan, Mr. O'Connor admitted that his preferred comparison was the valuation of the Castletownbere Fisherman's Co-op. In this comparison the factory area had been valued at £1.50/square foot and the office area at £3/square foot. Mr. O'Connor further admitted that the reason he had put a valuation of £1.50/square foot on the Castletownbere premises factory area was because of its large size. He contended that smaller areas rent at better prices than larger areas. Mr. O'Connor admitted under cross-examination by Mr. Ryan that the Castletownbere premises is located in the centre of the town. Castletownbere being a major fishing town with a local and an international fishing fleet. Mr. O'Connor further stated that the valuation placed on the tanks was a minimal one and the horse power of the machinery was rateable at a nominal amount. He made the point as well that the tanks in the subject premises were specifically used for holding mussels whereas the tank at the Ballydehob premises was similar to the tanks used in most factories to hold water for fire fighting purposes. Determination: Add:- The hearing before the Tribunal took place in the District Courthouse, Anglesea Street, Cork on the 4th day of June, 1996.
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