DUBLIN City University (DCU) may sell its €36.5m Helix arts centre as part of a financial rescue plan for the venue, which is struggling to survive amid massive losses.

Any such sale would prove hugely controversial as a significant portion of the building's construction was funded by the taxpayer as part of attempts to improve arts facilities in Ballymun.

Despite developing a high profile through the hosting of events such as the finals of RTÉ's You're a Star, the centre has lost over €7m since it opened in 2002.

The prospect of a sale was raised early last week by DCU's president Ferdinand von Prondzynski in an interview with the university's student newspaper, the College View.

In the interview, von Prondzynski said the university would be forced to explore its options if the Helix's management failed to turn its finances around in two years.

"The Helix is in a financial and business position that simply cannot continue as it currently is," he said.

An unpublished interview transcript indicates von Prondzynski then told the newspaper one of these alternatives included selling the venue. "It will take some time before [the Helix] recoups it early losses but if it didn't work, there are various things we could do – for example, [we can't sell] the land it's on but we could sell it. That would be a possibility," said von Prondzynski.

But the DCU president told the Sunday Tribune the College View article was incorrect and he did not make the comments attributed to him.

"There has been no discussion or consideration of a sale of the Helix nor will there be – this is not realistically possible, as the Helix is on the DCU campus. There is a two-year business plan to bring the Helix into surplus, but this is not connected in any way with a sale or disposal," he said.

Von Prondzynski also denied speculation the university intends to shift the venue's focus towards hosting business conferences rather than arts events in an attempt to cut its losses.

"The Helix is also used as a conference centre and will continue to be used in this way, alongside its performing arts programme. This has always been the case, and there is no change there," he said.

Despite von Prondzynski's statement that he was misquoted, it is undersood he has not yet lodged a complaint with the College View regarding the interview.