The impact of rights of light claims on development projects has been a concern for UK developers for several years now, but, until relatively recently, Ireland had managed to buck the trend.

However, as Ireland enjoys a period of heightened development, rights of light issues have become an increased topic of debate. Urban development is on the rise fuelled by a lack of housing in cities such as Dublin and Cork. The effects of Brexit are also being felt with a number of international companies relocating to Ireland as their European headquarters, increasing the demand for both office space and housing. Cities such as Dublin have proposed increasing their building height restriction to potentially 25 stories, to deal with this demand, which will only lead to further discussions around
rights of light.

So what is a right to light?

A right to light is an easement that gives a property owner the right to receive light through defined apertures in their building. Disputes can therefore arise when new developments threaten to obstruct this right.

A right to light in Ireland was initially established by the 1858 Prescription Act, the same act that is in effect in the UK today. However, this law was repealed by the 2009 Law Reform Act, which reduced the period of use and enjoyment needed to acquire a right through prescription from 20 to 12 years.

There have already been large losses for developers as a result of rights of light claims in Ireland. One of the most notable rights of light cases relates to the re-development of City Quay, Dublin where in 2018 the Immaculate Heart of Mary church adjoining the development was paid €3.5 million in compensation for their loss of light after objecting to the neighbouring development. The settlement included compensation and also an obligation to undertake improvement works on the exterior of the church.

High profile claims such as this with large losses for the developer has resulted in increasing awareness of rights of light in Ireland, something any developer operating in Ireland should be mindful of

How insurance can help

Rights of light insurance is taken out by the developer to mitigate the financial risk of a third party coming forward attempting to enforce their right to light.
Some of the typical losses covered by a policy include: