Durham County Council is considering a deal to take over a major city entre development in a move which could end a long-running stalemate on the scheme.
The Milburngate development in Durham was heralded as key scheme to create a vibrant place to live, work and relax when it was first unveiled nine years, with plans for office space, housing, bars and restaurants, a cinema and a hotel.
However, the scheme hit the buffers in 2023 when main contractor Tolent collapsed into administration. Since then, issues relating to fire safety and other matters have stopped the scheme from being completed.
The development is being led by Durham-based property developer Arlington Real Estate, which the council says is responsible for providing the delivery programme and the completion of the development, “including the remediation of a number of fire safety issues”.
Last year, the developers said they were working with the council in an attempt to resolve the outstanding issues and complete the development, but said “unfortunately, those negotiations remain ongoing with no agreement yet reached”. Meanwhile, businesses which have been planning to open for years – including BrewDog and Everyman Cinemas – have had to wait, and it is understood that some planned tenants have pulled out.
Now, however, Durham County Council has given hope that Milburngate can finally be completed, and will tell councillors next week that the purchase of the site from Arlington could bring significant economic benefit to the city. Members of Durham County Council’s cabinet will be asked for agreement to proceed with negotiations to buy the freehold on the Milburngate site, saying it proves key to the council’s plans for the creation of an Innovation District, which would include the Aykley Heads site, Durham University’s Business School and Data Centre and the refurbished Durham Light Infantry Museum and Art Gallery.
Coun Elizabeth Scott, cabinet member for economy and partnerships, said: “We are very aware of the economic significance of Milburngate to the city and wider county. This is a large development on a key site within the city, offering a range of leisure, business and residential opportunities.
“It’s strategically advantageous location, on the waterside in Durham, makes it an attraction proposition for businesses, from retail and leisure providers to those looking for office space.
“Combining this with the residential and hotel accommodation that is an integral part of the development, means it is also has a lot to offer residents and visitors too. Investing in Milburngate would, therefore, allow us to secure its future and bring significant economic benefit to the city and wider county.”
A spokesperson for the developers said: “We note the council’s statement, we have nothing to add at this stage.”
View news Source: https://www.chroniclelive.co.uk/news/north-east-news/milburngate-scheme-durham-could-bought-30938335
