Zapi Properties has been refused permission by An Bord Pleanála to build 144 apartments and 24 penthouses at Charlesland, Co Wicklow.
An Bord Pleanála upheld a decision by Wicklow County Council to refuse permission on the grounds it was premature "due to the existing deficiencies in the adjoining road network and pending the determination of a road layout for the area".
It said it would also prejudice the future realignment of the R761/Killincarrig bypass and lead to an unacceptable level of overlooking for future residents, and excessive density on the 2.9-hectare site.
In response, Zapi contended the scheme constituted a minor extension to a large residential scheme already granted permission by board, and was an integral part of the future development of the area. It said upgrading of the R761 was no longer required as the board has granted the applicant permission for a dual carriageway from the R761 south of the site to Mill Road. Last month, there was a stand off between developers Zapi Properties and Wicklow County Council which resulted in construction temporarily halting on a major residential scheme on the site. The dispute was over funding of part of the Southern Access Route. Zapi agreed to provide a loan of over €12.5 million in advance of NRA funding to Wicklow County Council for the construction of the Southern Access Road linking the N11 to Greystones in return for being allowed to build 900 metes of a dual carriageway link on lands in the council's ownership.
Zapi also agreed to provide up to €15 million for the construction of the Kilpedder Interchange.
The dispute arose when Wicklow County Council asked Zapi to carry out a further part of the Southern Access Route at a cost of €3 million. The overall planning permission for Charlesland includes 1,342 residential units, a 12-unit neighbourhood shopping centre and a 92,903 sq m (1,000,000 sq ft) business park.
