Plans to approve the sale of the former TK Maxx building (62-68 Bridge Street) in Peterborough city centre will go before the council’s cabinet on Tuesday 16 December.
Cabinet is set to be updated on the outcome of the marketing exercise, which recommends the sale of the building to Bridge Street (March) Limited.
Approval is also being sought to use the funds from the sale of the building to re-allocate back into the Towns Fund, following the building being originally purchased for £4,164,346 (including fees) by the council in 2020, of which £4,000,000 was funded by the Towns Fund grant.
The building had initially been identified to accommodate The Vine project, however in 2023 it was confirmed the refurbishment of the building to develop the project was no longer economically viable. The Vine is now set to be delivered across three sites including Central Library, Peterscourt and the Goods Shed building in Fletton Quays.
The Towns Fund is a government funded scheme which saw £22.9 million allocated to Peterborough for projects across the city to support local economic growth.
Councillor Mohammed Farooq, Cabinet Member for Growth and Regeneration for Peterborough City Council, said:
“Subject to cabinet’s approval, the sale of the former TK Maxx building will be a significant moment for the council. We’re confident the developer will be able to breathe new life into such a vital city centre site, as a mixed-use residential led-scheme.
“The marketing exercise has been positive reflecting the markets continued interest in the city and resulted in six bids for evaluation, all of which align with our need as a local authority to achieve best value, however the value of the sale is less than the price originally paid in 2020. This reflects significant market changes, particularly post covid impacts on town centres, broader economic and local factors such as interest rate increases making borrowing more expensive, which in turn, reduces property values.”
The Cabinet meeting will take place in the Engine Shed at Sand Martin House on Tuesday 16 December at 4pm. The meeting is open to the public and is also livestreamed from the council’s YouTube channel.