Sale of Birmingham data centre set to improve city centre housing provision

A FORMER data centre in Birmingham is set to be sold off by the city council to help towards the cost of a regeneration scheme in Sutton Coldfield and create a new housing offer in the city centre.

Earlier this year, the local authority opted to purchase the run-down Red Rose shopping centre in the town in a move which was thought likely to spearhead ongoing regeneration.

The shopping centre is currently home to Sutton Coldfield Library – which the city council has earmarked for closure – a multi-story car park and a range of shops.

The purchase cost was never disclosed.

The disposal of 21 William Street – also known as Cedar House – situated at the junction of Holiday Street and Communication Row will generate a capital receipt to repay debt associated with the purchase of the shopping centre, while the disposal of the data centre will also reduce the council’s requirement to maintain the property.

Cedar House is surplus to the council’s needs and the local authority said that bringing the property to market would enable the development of new housing on a brownfield site in the heart of the city centre with affordable housing provision or contributions considered as part of the planning process.
 
The development of new housing within the centre is also in accordance with the council’s key priorities and objectives.

It said that not to proceed with the sale would prevent the development of new housing and starve the council of revenue as well as continuing to make it responsible for the upkeep of the property.