New Generation, the company owned by developers Patrick Crean and Greg Kavanagh and backed by the major investment fund, M&G, has acquired College House, a strategically-located nine-storey office block in Dublin city centre.

College House is situated between College Green and the River Liffey and backs on to Hawkins House, home to the Department of Health, and which is likely to be demolished by its owner, the Office of Public Works.

This creates the potential for a major re-development of a three acre site at the heart of the city where new buildings of up to 22 storeys are permitted under the City Development Plan.

The third office block on the site, Apollo House is currently in NAMA.

It is also next to Tara Street Dart Station which Wilbur Ross and Cardinal Capital hope to develop into Dublin's tallest building at an expected cost of €130m.