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34 2009

National Asset Management Agency Act 2009

Chapter 5

Compulsory Acquisition of Land

Definitions (Chapter 5).

157 .— (1) In this Chapter—

“ acquisition order ” means an order under section 163 ;

“ compulsory transfer order ” means an order under section 167 ;

“ initial notice ” means a notice referred to in section 160 .

(2) In this Chapter—

(a) a reference to charged land includes land in relation to which a vesting order has been made, and

(b) a reference to the nominated NAMA group entity in relation to land is a reference to the NAMA group entity nominated by NAMA under section 163 (1) in relation to the land.

NAMA’s powers to acquire land compulsorily.

158 .— (1) NAMA may compulsorily acquire land if in its opinion it is necessary to do so—

(a) to enable NAMA to perform the functions referred to in section 10 (1) (b) and (c),

(b) to enable a building constructed on charged land to be used or enjoyed for the purpose for which it was developed, or

(c) to enable NAMA or a NAMA group entity to vest in a prudent and experienced purchaser good and marketable title to charged land but only if the land sought to be acquired is only of material benefit to the owner in so far as it affects the use or development of charged land.

(2) In addition, NAMA may compulsorily acquire land where—

(a) the land is owned by a person who is a debtor, associated debtor, guarantor or surety in relation to an acquired bank asset, and that person is in material default of his or her obligations to NAMA or a NAMA group entity and the default has caused, or is likely to cause, NAMA or the NAMA group entity substantial loss,

(b) the land was intended to form part of a security in relation to a credit facility provided by a participating institution but was not included in the security through an error or omission, or

(c) a debtor, associated debtor, guarantor or surety in relation to an acquired bank asset is using or intends to use his or her ownership of the land to materially impede the disposition, at a fair and reasonable price, of land by NAMA or a NAMA group entity.

(3) NAMA may compulsorily acquire land only if it has first made a reasonable attempt to acquire the land by agreement.

Application to Court for acquisition order.

159 .— (1) If NAMA proposes to compulsorily acquire any land, NAMA shall apply to the Court for an order (in this Chapter called an “ acquisition order ”) authorising it to acquire the land.

(2) The application under subsection (1) shall be accompanied by the maps, plans and books of reference to be deposited in accordance with section 161 .

Initial notice of acquisition.

160 .— (1) NAMA shall publish a notice (in this Chapter called the “ initial notice ”), in the form (if any) prescribed by the Minister by regulations, of an application under section 159 in a daily newspaper circulating in the State generally.

(2) NAMA shall serve a copy of an initial notice on every person who appears to NAMA to have an estate or interest in the land concerned, so far as it is reasonably practicable to ascertain those persons. However, failure to serve an initial notice on every such person does not invalidate the acquisition order concerned.

(3) An initial notice—

(a) shall include a statement that persons claiming an estate or interest in the land concerned have the right to lodge with the Court, within 21 days after the publication of the notice, an objection to the making of an acquisition order in relation to the land, and

(b) shall specify the times and places where the maps, plans and books of reference deposited in accordance with section 161 can be inspected.

Maps, plans and books to be deposited.

161 .— (1) NAMA shall cause maps, plans and books of reference to be deposited in accordance with this section.

(2) The maps and plans shall be sufficient in quantity and character to show the land at an adequate scale.

(3) The books of reference shall so far as practicable contain the names of the owners or reputed owners, lessees or reputed lessees, and occupiers of the land that is proposed to be acquired.

(4) The maps, plans and books of reference shall be deposited at such place or places as NAMA considers suitable and shall remain so deposited for at least 21 days after publication of the initial notice. While so deposited, they shall be open to inspection, free of charge, between 10 o’clock in the morning and 4 o’clock in the afternoon on every day except Saturdays, Sundays and public holidays.

Consideration by Court of objections.

162 .— (1) A person claiming an estate or interest in land in relation to which an initial notice has been published and served may lodge with the Court, within 21 days after the publication of the initial notice, an objection to the making of an acquisition order in relation to the land, setting out the grounds on which the objection is based.

(2) In determining an application by NAMA under this Chapter, the Court shall consider any objection lodged with the Court in accordance with subsection (1).

(3) The Court is not obliged to consider any objection—

(a) that is not lodged within the period allowed by subsection (1), or

(b) that does not show on its face the objector’s estate or interest in the land concerned.

(4) In considering an objection under subsection (1), the Court shall have regard to the nature of the objector’s estate or interest in the land.

Acquisition order.

163 .— (1) If no objection to NAMA’s application is lodged with the Court within the period referred to in section 162 (1), the Court shall make an order authorising NAMA or a NAMA group entity nominated by NAMA to acquire the land concerned compulsorily in accordance with the terms of its application.

(2) If an objection to NAMA’s application is lodged with the Court within the period referred to in section 162 (1) the Court shall make an order referred to in subsection (1) if the Court is satisfied that—

(a) one of the following applies:

(i) NAMA has reasonably formed the opinion referred to in section 158 (1);

(ii) a condition set out in section 158 (2) is satisfied;

(b) NAMA has complied with the obligation in section 158 (3), and

(c) it is just and equitable to make the order.

(3) The Third Schedule to the Housing Act 1966 applies to an acquisition order subject to the following modifications:

(a) references to a sum of money shall be construed as references to the equivalent sum in euro;

(b) references to a housing authority or an authority shall be construed as references to NAMA;

(c) references to the Minister shall be construed as a reference to the Court in the exercise of its functions under this Chapter;

(d) the omission of Article 4, paragraphs (1) to (4) of Article 5 and Article 5(5)(d).

Notice to treat.

164 .— (1) Where an acquisition order has been made, NAMA may serve a notice (referred to as a notice to treat) on every owner, lessee and occupier of the land (except tenants for a month or a shorter period).

(2) A notice to treat—

(a) shall state that NAMA is willing to treat for the purchase of the several interests in the land, and

(b) shall require each owner, lessee and occupier—

(i) to state within a specified period (not less than one month from the date of service of the notice to treat) the exact nature of the interest in respect of which he or she claims compensation and details of the compensation claimed, and

(ii) if NAMA so requires, to distinguish separate amounts of that compensation in such manner as NAMA specifies in the notice to treat and show how each such amount is calculated.

(3) A notice to treat served under subsection (1) shall be taken to be a notice to treat for the purposes of the Acquisition of Land (Assessment of Compensation) Act 1919.

NAMA’s power to take possession.

165 .— (1) At any time after the making of an acquisition order and before conveyance or ascertainment of price, NAMA or the NAMA group entity nominated by NAMA under section 163 (1) may, subject to subsection (2), enter on and take possession of the land to be acquired.

(2) NAMA or the nominated NAMA group entity referred to in subsection (1) shall not enter on or take possession of land under this section without giving any occupier or owner of the land at least 14 days’ notice in writing of its intention to do so.

Determination of compensation.

166 .— (1) The amount of the price to be paid by NAMA for land shall, in default of agreement, be fixed under and in accordance with the Acquisition of Land (Assessment of Compensation) Act 1919.

(2) Section 63 and sections 69 to 79 of the Lands Clauses Consolidation Act 1845 apply to the price and, subject to sections 167 and 169 of this Act, to the land acquired. For the purpose of the application of those sections a reference to the promoters of an undertaking shall be construed as a reference to NAMA.

(3) If NAMA or a NAMA group entity exercises its power of entry under section 165 , NAMA is liable to pay compensation as if the provisions of the Lands Clauses Acts (within the meaning given by the Schedule to the Interpretation Act 1937 ) relating to entry on lands had been complied with and to pay interest upon that compensation from the date of entry at the rate applicable to compulsory purchase orders by local authorities in accordance with the provisions of the Housing Act 1966 .

Court may make compulsory transfer order.

167 .— (1) Where NAMA or a NAMA group entity has entered on and taken possession of land in accordance with section 165 and the Court is satisfied that—

(a) the several estates or interests in the land have not been conveyed or transferred to NAMA or the nominated NAMA group entity,

(b) it is necessary, in connection with the purposes for which NAMA has been authorised to acquire the land compulsorily, that the acquisition of the land should be completed, and

(c) NAMA has made an offer in writing to each person having an estate or interest in the land who has furnished sufficient particulars of that estate or interest to enable NAMA to make an offer for it,

then the Court may make an order (in this Chapter referred to as a “ compulsory transfer order ”) vesting the land in NAMA or the nominated NAMA group entity subject to any terms and conditions that the Court thinks fit.

(2) After the Court makes a compulsory transfer order, NAMA shall within 7 days after having received notification from the Court of the making of the order—

(a) publish in a newspaper circulating in the area of the land to which the order relates a notice stating that the order has been made, describing the land and naming a place where a copy of the order may be seen at all reasonable times, and

(b) serve on every person appearing to NAMA to have an estate or interest in the land a notice that the order has been made and the effect of the order.

NAMA to inform Revenue Commissioners if certain liabilities exist.

168 .— Where NAMA becomes aware, before the making of a compulsory transfer order, that a person from whom an estate or interest in the land is to be transferred by the order is subject to a liability for estate duty, succession duty or inheritance tax, NAMA shall notify the Revenue Commissioners of the Court’s intention to make the order.

Form and effect of compulsory transfer order.

169 .— (1) A compulsory transfer order shall have attached to it a map of the land to which it relates.

(2) A compulsory transfer order vests in NAMA or the NAMA group entity nominated by NAMA under section 163 (1) the land specified in it in fee simple free from encumbrances and all estates, rights, titles and interests of whatever kind (other than any public right of way) with effect from a date (not earlier than 21 days after the making of the order) specified in the order.

(3) NAMA shall cause a compulsory transfer order to be sent to the Property Registration Authority under the Registration of Title Act 1964 and the Registration of Deeds and Title Act 2006 . The Property Registration Authority shall cause NAMA or the nominated NAMA group entity referred to in section 163 (1) to be registered as owner of the land in accordance with the order.

Effect of compulsory acquisition without compulsory transfer order.

170 .— (1) Upon the completion of a compulsory acquisition otherwise than by compulsory transfer order, all private rights of way and all rights of laying down, erecting, continuing or maintaining pipes, sewers, drains, wires or cables on, under or over the land concerned (together with the property in those pipes, sewers, drains, wires or cables) and all other rights or easements in or relating to the land shall (except so far as otherwise agreed by NAMA or the NAMA group entity nominated by NAMA under section 163 (1) and the person entitled to the right) vest in NAMA or the nominated NAMA group entity without any conveyance or transfer.

(2) A person who suffers loss by the vesting, by virtue of subsection (1), of a right or property is entitled to be paid compensation by NAMA.

(3) Compensation payable by virtue of subsection (2) shall be determined under and in accordance with the Acquisition of Land (Assessment of Compensation) Act 1919.

Service of notices.

171 .— (1) A notice under this Chapter may be served on a person by sending it by registered post in an envelope addressed to him or her at his or her usual or last known address.

(2) If for any reason the envelope cannot be so addressed, it may be served on the person for whom it is intended by—

(a) sending it by registered post in an envelope addressed to “the occupier” without stating his or her name, at the land to which the notice relates, or

(b) affixing a copy of the notice prominently on the land.