Jan 5 2008 Exclusive by David Bartlett
A MULTI-MILLIONAIRE land- owner has offered to plug Liverpool’s £20m 2008 shortfall in exchange for land and planning permission to build a retail park.
Derwent Holdings, owned by Isle of Man-based property owner Albert Gubay, wants to redevelop its Edge Lane retail park and other property it owns in the area.
See Grotspots Thread
In a letter to council leader Cllr Warren Bradley, which has been obtained by the Liverpool Daily Post, Derwent has offered to buy the adjoining Rathbone Road Recreation Ground for development.
In the letter, one of Mr Gubay’s representatives, Peter Willers, said the offer was “made in good faith to help with the apparent shortage of funds”. Liverpool City Council and Derwent have been in a dispute for a number of years over what form the firm’s plans for the area should take.
The council is currently locked in a legal battle with Mr Gubay over the state of the derelict Rugs 2 Go and Klaussners stores, the ex-Advent car showroom and a huge pile of rubble, which was once the Traveller’s Rest pub.
The council has demanded that he demolish the dilapidated buildings and tidy up the sites while they work out a long-term plan.
A hearing in November was adjourned and is likely to reconvene at a yet-to-be decided date before March.
The Daily Post was last night unable to contact Cllr Bradley or Derwent Holdings for comment.
But city’s regeneration leader Cllr Mike Storey said: “The council and its partners have invested a considerable amount of money to improve the quality of Edge Lane.
“It is disappointing that this particular landowner and developer has sought over a number of months to leave his property holdings in a derelict state. Any negotiations over the regeneration of the Edge Lane retail provision should be done in a proper manner.
“At the same time, (we) will continue to pursue through the due legal process this particular landowner and developer, who has left his buildings in a derelict state.”
The council is still currently waiting to hear if the Government whether it will be allow it to fund the £20m Capital of Culture shortfall from sales of land and buildings.
The letter from Derwent, that was circulated to a number of councillors, stated: “Over the Christmas and New Year recess, we have been giving some thought to our landholdings... in Edge Lane, the Rathbone Recreation Park and the current problems surrounding the 2008 European Capital of Culture.
“We therefore wish to make an offer of £20m to acquire from the council the Rathbone Road Recreation Park, being the land edged red on the attached plan, and will exchange contracts within seven working days of your agreement and thereafter will complete such acquisition within seven working days of outline planning permission being granted.
“We will, following consultation with your planning officer, make a single overall outline planning application on our retail holdings in Edge Lane, including the Rathbone Road Recreation Park at a coverage of 45%.
“Such application will be made within seven days of our exchange of contracts for the acquisition of the Rathbone Road Recreation Park.
“This offer is made in good faith to help with the apparent shortage of funds as set out in the press and to enable Edge Lane to be redeveloped to the satisfaction and benefit of all.
“This will also enable all the other current Edge Lane problems to the satisfaction and benefit of all.”
At the city’s executive board yesterday, leading councillors demanded that Derwent’s “eyesore” sites on Edge Lane be cleared up during the city’s flagship Capital of Culture year.
Cllr Berni Turner said she thought the site was being deliberately allowed to fall into ruin to force the council into a corner. “Quite frankly, I have thought about stopping traffic on Edge Lane with banners to bring this issue to the forefront.”
Cllr Paul Clein said: “I think it is outrageous. It’s a key year for the city. Tens, hundreds of thousands of people will be visiting.”
In the summer, Derwent said its £200m proposals would see:
Edge Lane retail park demolished and replaced with modern shops and leisure facilities, owith most of the current stores moving into the new premises. Offices and a hotel would also be built;
div>
A central boulevard through the rebuilt retail park, with views over the city centre;
The notorious Rugs 2 Go and Klaussner site transformed into housing;
The derelict Advent car showroom demolished and replaced with leisure facilities;
Mill Lane’s former factory site in Mill Lane, off Edge Lane, redeveloped into mall industrial units and homes.
Cllr Paul Brant, opposition regeneration leader, said: “I am deeply concerned that this is an example of the council being pressurised to sell assets because of the financial crisis in funding Capital of Culture.
“We would have not hesitation in calling in the District Auditor if there’s any hint of property being sold off at less than its real value, and we will be watching the Lib Dems like a hawk on this issue.”
Bookmarks