Living City Initiative (LCI)

Conditions for claiming and use of the property

Conditions for claiming

There are some common conditions for claiming all three reliefs under the Living City Initiative (LCI). These are that:

  • your property must be located within a Special Regeneration Area (SRA)
  • the work must be carried out during the qualifying period
  • your refurbishment or conversion expenses must be at least €5,000.

The following conditions are specific to each individual relief:

Owner-Occupier Residential Relief:

  • Your property must have been originally built before 1915.
  • You must have a Letter of Certification from your Local Authority for the property.
  • You must be the first occupier of the property after the work has been completed.
  • The property must be your sole or main residence.

Rented Residential Relief:

  • Your property must have been originally built before 1915.
  • Your property must be rented out, after refurbishment or conversion, to be used as a home by the tenant.
  • You must have a Letter of Certification from your Local Authority.

Commercial Relief

The property must be used, after refurbishment or conversion, either:

  • for retail purposes
  • for the provision of services within Ireland
  • rented out on commercial terms for the purposes above.

Use of the property for Owner-Occupier Residential Relief

You can claim the relief when:

  • the first use of the property after the work is completed is as your sole or main residence, and you have moved in
  • you live in the property for all or part of the year.

If you move out of the house, but do not sell it within the first ten years after the work was completed, this can affect the amount of relief you can claim. You can claim the relief for the year you move out provided it was your main residence at some point during the year. You can also claim the relief for the year you move back in provided it is within the ten years and you use it as your main residence.

You can claim the relief for ten consecutive years only, so if you can not claim for any particular year the relief is lost. If your first use of the property is not as your main residence, you cannot claim the relief.

If you die during the ten year period the relief does not pass to another person. The relief cannot form part of an inheritance. There is no claw-back of relief that has already been given.

Selling a property within the ten year period

If you sell the property within the ten year period, your Owner-Occupier Relief will not be clawed back. However you cannot claim any more relief from the time that the property stops being your sole or main residence.

Only the first owner-occupier of a property can claim relief after it has been converted or refurbished. If you are the second or further owner of a qualifying property, you cannot claim any relief.

Grants

You may be entitled to claim for or receive a grant or money towards the cost of refurbishing or converting your property. If you are, this will have an effect on the amount you can claim under the LCI.

Owner-Occupier Residential Relief

When you are calculating the qualifying costs to claim the LCI, you must deduct any grants or money you receive or are allowed to receive from:

  • the State
  • any board established by law
  • any public authority.

Rented Residential Relief and Commercial Relief

When you are calculating the qualifying costs you must reduce your LCI claim by three times the amount of the grant you received (or will receive).

Next: Owner-Occupier residential relief