News
SBC terminates redevelopment deal
Mon 20th July 2009
Swindon Borough Council has terminated the £215million agreement with Modus to redevelop the Granville Street area of the town centre.
The move follows Modus Ventures’ financial difficulties which resulted in the company falling into administration in May.
The owners of 175 businesses and properties that would have either been compulsorily purchased to make way for the development, known as Regent Place, or directly affected by it, have been informed of the council’s action.
Cllr Phil Young, Swindon Borough Council cabinet member for Culture, Recreation and Economic Development, said: “This is not something that we wanted to happen, but the national economic situation has meant things have gone beyond our control, and we have acted quickly to end the deal and move on.
“We’ve now got an opportunity to look afresh at what we want to do to transform the town centre, taking account of the new economic realities.
“We will bring forward alternative plans as soon as we can. I recognise that there will be a delay until we can update those people whose properties were earmarked for demolition to make way for the Regent Place scheme.”
The Modus deal, which was signed in September 2008, would have seen retail, residential and leisure facilities along with car parking. It was one of two major deals signed between the council and developers in 2008.
The other agreement, with Muse Developments Ltd, is moving ahead. The £350million Union Square scheme will see new offices, 450 homes, streets and open spaces created along with a new bus interchange. It will rejuvenate the town’s leisure opportunities, with shops, restaurants, cafes and a new hotel.
A planning application covering the first phase of the scheme, which will provide new premises for the Swindon Primary Care Trust, a multi-storey car park and 44 units of sheltered accommodation is due to be submitted later this year.