A major update has been released on the future of the leisure scheme in Grimsby Town Centre.
In a report released today, the Freshney Place leisure scheme heads into the democratic process once more, through the Council’s Economy, Culture and Tourism Scrutiny Panel before heading to the Council’s Cabinet for approval on the details of the scheme and through Full Council to approve the budget.
About the scheme
As previously reported, the leisure scheme is due to be constructed using the western end of Freshney Place, the area that is currently the Top Town Market Hall and some units on the Bullring, which will provide a new offering for the people and businesses in Grimsby town centre.
What do we know so far?
Leisure and shopping:
So far, within the proposed scheme, a pre-let agreement is in place with local operator, Parkway Cinema, to bring a new five screen cinema to complement its offering at Cleethorpes.
Four new leisure, food and beverage, or retail opportunities, including a larger unit to-let are also in the scheme footprint, alongside four refurbished units within Freshney Place.
According to a report from Montagu Evans, a leading UK Property consultancy advising the council, the leisure industry, like many is always evolving. Although there has been a growth in online shopping, around 75% of all sales are still in person on the high street.
Meanwhile, there is more confidence in the cinema sector, particularly amongst smaller operators who are able to provide a quality experience and to tailor their operations to fit local demographics and demands.
Top Town Market
The proposed development includes plans for a new, vibrant food hall together with an attached complementary market. This is sited on the area of the former BHS building.
During the construction period, a temporary market is planned to be provided within Freshney Place, similar to the one that was provided for the Christmas event a few years ago. In addition, other units and mall pitches (within Freshney Place) will be considered.
If the proposals are all agreed through the democratic process, we will start one to one engagement with traders immediately.
Once the new market hall has been completed within the old BHS building, traders, new and old, will be invited to see the new development and find out about what opportunities will be on offer.
What’s the new cost of the scheme?
Set in the context of global upheavals along with significant inflation in costs over the last few years across the construction industry, work has been going on in the background to “value engineer” the scheme with contractors – trying to find ways of reducing the overall cost of the scheme to ensure best value.
Some of these changes include, for example, using different types of finishes, altering layouts within some buildings to make utility connections easier, or changing the order in which work is done. All of this has taken time but ensures that the cost of the scheme is more certain.
Additionally, since the Council acquired Freshney Place, the net return has been around £3.5million. The ongoing position, including the leisure scheme, is forecast to remain positive.
The scheme has been costed in the region of £49.96 million.
If approved at Council, this will be predominantly funded through Government Funds, with additional public sector borrowing to support that.
Importantly, although the cost of this scheme has risen, it will not impact local Council Taxes as the additional borrowing will be repaid through the returns from the scheme and the income from Freshney Place itself.
Some of the Government funding received for the Town needs to be reallocated from the Green Skills Hub project. Additional funding will be sought to continue this project in the future.
What are the next steps?
The first stage is the democratic process: the approval for the scheme will go through the Council’s Scrutiny, Cabinet and Council meetings in December.
If approved, the Council will enter into contract with GMI to deliver the scheme, with the site set up beginning early in the new year.
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