Compulsory purchase order agreed on Stockton’s Castlegate shopping centre
A Government planning inspector has granted a compulsory purchase order on Stockton’s Castlegate shopping centre.
Had the order been refused it could have potentially halted Stockton Council’s plans to demolish the 1970s built structure.
However, having already resolved all of its negotiations with tenants in the Castlegate, the outcome is being viewed as something of a formality by the authority, which said it was “always confident of a positive resolution”.
Only two tenants remain in the Castlegate, discount chain B&M and Barclays Bank, who are due to move out early next year.
The council, which owns the freehold for the land, has been undertaking phase one of demolition work to bring down a multi-storey car park previously used by visitors to the shopping centre and the neighbouring Swallow Hotel.
In August last year councillors approved outline planning permission to flatten the Castlegate and the long-empty hotel to make way for the creation of a new urban park and associated waterfront development, which will also feature a land bridge to the River Tees.
The scheme will cost about £43.5m with £16.5m coming from the Government’s Future High Streets Fund.
Affected retailers are being moved to the nearby council-owned Wellington Square and the north section of Stockton High Street.
About 80% of people who responded to a public consultation in 2019 were in support of the buildings, which the council acquired, being removed.
The council had identified the Castlegate as being a “barrier to movement” between the High Street, River Tees and the Teesdale Business Park beyond it, and also hopes to “future proof” the town centre and end a “cycle of decline” in terms of an increasing number of empty retail units.
In his determination, inspector Roger Catchpole said: “I find this would be a positive step towards the creation of a more sustainable town centre.”
Mr Catchpole, who had heard evidence in respect of the compulsory purchase order during hearings held over the summer in Thornaby, said the council maintained that the regeneration plans would make Stockton a more attractive place to visit with a wide variety of uses, encompassing retail, leisure and commercial.
A more legible and open route between the High Street and River Tees would also enhance opportunities for healthier modes of transport.
He said: “The economic benefits of the scheme are primarily associated with the reduction in the current oversupply of retail units in the town centre and the removal of an unsightly series of buildings that are no longer capable of serving the purpose for which they were originally intended.”
Mr Catchpole concluded that the scheme would lead to a “significant overall improvement to the wellbeing of the area”.
He concluded that
:: The scheme is regenerative and fulfils a long-standing transformative agenda
:: It appears viable with the necessary funding committed and contractors secured who have the necessary experience and expertise to deliver it
:: Without the remaining land identified in the order, it is clear that the benefits of a comprehensive development scheme would not be realised
:: It is clear that the council has consequently used its compulsory purchase powers only as a means of last resort
::The order is needed to provide certainty that the outstanding lease agreements, undertakings and covenants can be extinguished without undue delay and thereby unlock the significant public benefits likely to arise from the scheme.
Councillor Nigel Cooke, cabinet member for regeneration and housing, said: “We’ve been working with businesses in Castlegate Shopping Centre to find them alternative premises in Wellington Square and the north end of the High Street.
“I’m pleased to say that 31 moves have been successfully agreed.
“While we welcome the news that the compulsory purchase order has been approved to facilitate the redevelopment of the site into a fantastic urban park and riverside plaza, it’s always been important to have an ongoing conversation with the tenants inside Castlegate.
“I am very pleased that we reached a positive outcome with many of them before this approval.
“The final businesses will be relocating in the coming months as the second phase of demolition approaches.”
B&M had objected to the CPO, but subsequently reached a deal to move into the former Marks & Spencer store on the High Street, while Barclays removed its objection after it was agreed it too would move to Wellington Square.