Surprise site gets arena vote
LEEDS City Council has shocked private developers by rejecting their proposals in favour of its own plans for a new 12,500-seat arena.
Last night the council revealed that it has chosen a site in Claypit Lane in the city centre as the home of the new £30m concert venue.
TheBusinessDesk.com reported the site as the front runner for the arena two weeks ago.
But the move has “shocked and surprised” property developer Jan Fletcher who had proposed a site in Holbeck for the project. Another site on council-owned land at Elland Road has been picked as a reserve option.
The council now faces the prospect of potential appeals and even legal action from private developers who had been led to believe that only two sites were under consideration.
Ms Fletcher, who is the chairman of Montpellier Estates and until a few months ago was the chairman of the city marketing agency Marketing Leeds, said: “We are shocked and extremely surprised by the council’s announcement. Until we receive a full explanation of the council’s decision it would be inappropriate for me to comment further.”
The 5.1 acre site near the Merrion shopping centre and Yorkshire Bank’s headquarters, is owned by the council and Leeds Metropolitan University and had been earmarked for the collapsed £275m Brunswick Place regeneration scheme.
What do you think of the decision? Is this a bold move by the council or a rejection of private sector plans? Is this the right site or should it have gone elsewhere? Add your comments below.
The council decided on the site after it said the original proposal to select a developer and site through commercial bidding were unaffordable.
It said the “public subsidy required to deliver both bids was also significantly higher than if the council was to develop the arena itself”.
It said the £30m cost will be met by the council and regional development agency, Yorkshire Forward. The council will own the land and the building with the arena being managed by the already chosen operator, SMG Europe.
Cllr Andrew Carter, executive board member for development at Leeds City Council said: “The Claypit Lane site brings all of the advantages of a city centre scheme – it will have a real regenerative impact to a key gateway into Leeds; it benefits from great public transport links and will complement the activities of the universities to create a real buzz in this part of our city.
“The council is determined to deliver an arena in Leeds but it is clear that the credit crunch and its impact on the property market has made the prospect of securing an affordable proposition through the developer competition very challenging.
“I would like to acknowledge the time and effort put in by everyone concerned and I know that this will be a disappointing outcome for those who participated.
“However, ultimately, we do not believe that, in the current market, the developer competition process can deliver an affordable and value for money outcome.
“The fact that the Council is willing to commit to the delivery of this scheme, even during these difficult economic times, reflects our confidence in the future economic success and growth of Leeds, ” added Cllr Carter.
It is estimated that the arena will generate up to £28m to the city’s economy and create more than 300 jobs.
John Sutherland, managing director of SMG Europe, said: “SMG has always maintained that an arena in Leeds would be a major success, whatever the location.
“We believe the Claypit Lane site will be an excellent site, and have every confidence in the council’s commitment and capability to deliver a venue which will be the most suitable for the people and the economy of Leeds.”
Tom Riordan, chief executive of Yorkshire Forward said: “Yorkshire Forward is committed to supporting the economic growth of Leeds. The city’s cultural offer is integral to that growth and a world-class arena will give Leeds a real edge in the international entertainment and music markets.
“Locating the state of the art arena on the Claypit Lane site will bring added sustainability, and enhanced economic impact.”
What do you think of the decision? Is this a bold move by the council or a rejection of private sector plans? Is this the right site or should it have gone elsewhere? Add your comments below.
