The plans to revamp the centre of Hereford including the area close to Hereford United's Edgar Street ground are in trouble according to It's Our County.
The political group say that the deal to sell the old livestock market site for £30M may not go ahead as British Land now believes that price to be much too high.
The Hereford Council were expected to use the £30M to build a new library and other public assets.
It’s Our County understands that British Land now believes the centre is worth about one-third less than they thought last year.
If the scheme looses value then British Land/Stanhope will find it impossible to pay Herefordshire Council the £30m estimated value of the land at Edgar Street.
It’s Our County fears, on the basis of it’s information, is that political leaders will either sell the land for substantially less than £30m – meaning £m losses and jeopardising plans for the library – or contribute the land to the development for nothing in return for a share in notional profits, if there are any – just to keep British Land on board. This would be a disaster.
It’s Our County estimate that the Edgar Street Grid plans has so far cost tax payers £24m, excluding the cost of the new cattle market. £20m was given to ESG from AWM in March 2007 which they used for property acquisition £6m, flood alleviation of Yazor Brook £4m and operating costs and fees £4m2 with a further £1m in October 2008 for operating costs and £739,000 in the last three years. Herefordshire Council have funded Hereford Futures operating costs between 2006 and 2011 £1.9m which includes £452,000 this year, when cuts are being made elsewhere in the Council. This means at least £24m has been spent, not including the Cattle Market costs, on preparation work for something that will not happen.
To read the full article go to: http://www.itsourcounty.org/blog/1744-esg-close-to-collapse/
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Friday, February 24, 2012
Edgar Street Grid in Trouble say Political Grouping
