A £1.3 million loan by Derby City Council could kick start £11 million of private investment to bring neglected city centre properties back into use.
A proposed scheme by private developers would see buildings bought and refurbished to provide residential units, office space, retail and hospitality units in a location where regeneration is already under way nearby. The properties are in a priority area for the Council and the project will help meet a number of objectives in Derby’s City Centre Ambition.
The Council would be working in partnership with the private sector in its ambition to bring vibrancy back to the city centre by boosting the local economy, improving the street scene, increasing foot flow during the day and night, and connecting key landmark buildings with improved street scenes.
Details of the properties and company involved cannot be disclosed at this stage for commercial reasons, but the company behind the proposed scheme involves property investors with a track record for delivering commercial and residential properties, both locally and nationally. The loan is subject to Cabinet approval at its next meeting.
The properties, once completed and occupied, would be expected to generate an additional £100,000 a year in business rates alone for the Council, with further income from Council Tax payments by the new residents.
Councillor Nadine Peatfield, Cabinet Member for City Centre, Regeneration, Culture and Tourism, said: “We’re committed to working with our partners to enable fresh and exciting ideas to put the heart back into our city centre.
“The Council’s financial position means we need to make sensible, strategic decisions to support partnership investment in order to fulfill our vision for Derby City Centre.
“This scheme has the potential to create new business opportunities, make the area more attractive and generate income for the Council in the long term. We are excited to support such key investment in our High Street.”
