Lower bid could hit regeneration (From Gazette Series)

Lower bid could hit regeneration

FUTURE regeneration projects in Dursley has been thrown into further turmoil after it was revealed the bidding process to build a supermarket might have to restart.

Stroud District Council has been told that Tesco still have an interest in building on the Castle Street site but have lowered the price they are prepared to pay.

"The price that they are now prepared to offer is well below the price that won them preferred bid status in December 2004 and against which contracts were under negotiation until the 4th of July and nearing exchange," said Cllr Nigel Studdert-Kennedy, cabinet member for regeneration and tourism, at a meeting of the full council at Ebley Mill last week.

"There has been some suggestion that we should return to square one on this site and start consultations all over again. This argues that the original concept was or could be wrong. The current planning policy for the site as highlighted in the local plan is for a supermarket of approximately 15,000 to 20,000 sq ft net."

Cllr Studdert Kennedy said that Dursley's ability to compete with other towns would be enhanced by the construction of a supermarket.

He continued: "In the current market the range of uses that could provide both the regenerative benefit to the town and also provide sufficient funds for the project are limited. Therefore, currently, an anchor store is still seen as a regeneration catalyst for Dursley.

Tesco's move throws a cloud of doubt over the future of other projects in the town, including a new fire station, youth club building and provision for an education centre.

Cllr Studdert-Kennedy believes that re-marketing the site maybe the only option to secure their future.

"It is likely that the re-marketing exercise will have to be repeated to obtain the best value for Dursley and the district," he said.

"In this event the contract will be reviewed to ensure that the best possible outcome that can be achieved measured against the possible outcome of the original negotiation with Tesco. The retention of the additional benefits arising from the location of a supermarket in Dursley is extremely important and will be included in negotiations with prospective purchasers of the site."

Tesco corporate affairs manager Andrew Slight said Tesco were still interested in bringing a supermarket to Dursley.

"In terms of submitting a lower bid the situation is that the original bid factored in some shoppers coming for Cam towards Dursley," he said.

"From a commercial point of view the numbers have changed and we have lowered the bid. We are now waiting to hear from the district council."