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Main issues
The Merrion Square Tea Rooms are a new café and public toilet building that Dublin City Council is building in Merrion Square Park. The council first approved the project in November 2017. The building is about 362 sq m. It includes a dining area, a kitchen, bathrooms and baby-change facilities. The council hired property consultants Colliers to find a tenant. Disposing of council property by lease normally needs councillors' approval, which is why a report was put to the full council.
The project has run well over its original cost and timeline. The council sought bids in 2019 with an indicative cost of €4.27 million. Development costs are now estimated at €6.6 million to €7.5 million. The council says construction suffered an 18-month delay "arising from a formal contractual dispute". A 2024 council audit found consultant architects' fees had risen from €246,000 to €655,000. The council said this does not comply with national and EU procurement regulations.
Recent developments: the contractor's current programme forecasts completion in March 2027. Councillors were expected to approve a 10-year lease at an annual rent of €100,000. The proposed contract was withdrawn from the agenda on the afternoon of the meeting. The council said a review would be procured shortly, with a completion date of February 2027.
This matters because the project is a test of how the council controls public spending, procurement and value for money on capital projects. It also bears on how the council prioritises spending on city amenities.