Manchester offered sale and leaseback on Fire Station
MANCHESTER City Council offered a sale and leaseback deal to the owners of the derelict London Road Fire Station, it has emerged.
Chief executive Sir Howard Bernstein told TheBusinessDesk.com that Britannia Hotels, which has owned the landmark, disused Grade II-listed building near Piccadilly Station for more than 20 years, had rejected the offer.
Last year, the council, frustrated by the lack of progress in the redevelopment of the site applied for a Compulsory Purchase Order to obtain the site, and a decision is expected in the next few months.
Asked if he had been surprised that Altrincham-based Britannia had invested a reported £20m in buying holiday camps business Pontins out of administration, Sir Howard said he has no issue with Britannia Hotels, aside from the Fire Station.
“I am not here to question the business direction of Britannia Hotels, which is obviously very successful, but what I have an issue with is that since 1987 the Fire Station it has not been developed – and we have been through almost three cycles of economic growth.
“The CPO will test the prospect of whether there is a genuine intention of Britannia to develop what is a landmark building.
“Anyone who goes in there will see with a mixture of shock and horror the level of deterioration. We can’t sit back any longer and wait for investment in that building – the public sector has to intervene and show leadership.”
He said the offer of a sale and leaseback, which would have been ‘executed in accordance with clear performance objectives’ had been refused and the council had an obligation to drive the regeneration process forward.
Sir Howard said he was aware that a decision is due to be made soon on the bids to acquire the BBC building on Oxford Road -which will be an integral part of the vision for science-led regeneration along the Corridor.
“I don’t know who it is – that’s a matter for the BBC – but we look forward to working with the chosen developer to ensure that we see the maximum gains in the shortest possible time.
“We must avoid the situation where that sites remains derelict for years to come.”
Bruntwood, Greater Manchester Property Ventures Fund and Liverpool student property specialist Downing are understood to have submitted bids.
