Advanced discussions with a 'preferred buyer' collapsed within a few weeks of sealing the deal worth, said to be worth in the region of €25 million.
Developers wanted to build a shopping centre on the the GPO site. They had planned to move the existing post office to the new city centre premises and charge An Post a nominal fee of €1 per annum.
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An An Post spokesperson said: "An Post were close to the final stages of a deal (to sell) but with changes in the economic circumstances and the downturn that didn't happen.
"The building is no longer for sale. It is a thriving post office and will continue to be so for as long as possible.
"Our customers seem to like it and it will continue to operate as a post office but this will be reviewed at some stage down the road."
(GK/BMcC)
