| It’s understood the remaining obstacle to further development — believed to centre around access to the land earmarked for the extension — has been resolved through a partnership agreement.
Under the deal, the council will acquire various “land interests” which will be leased to Lend Lease. This will allow for the development of an extra 215,000 square feet of retail space.
Lend Lease has already received the go-ahead from the Scottish Government for an extension that would increase the size of the centre by just over 50% — the equivalent of another two Debenhams stores.
The council had previously agreed planning permission for the next stage of the Overgate’s development and administration leader Kevin Keenan said today, “I am pleased that, despite the current financial climate, we are continuing to make progress on the planned expansion of the Overgate.
“I look forward to a future expansion which will build on success and add even more to the vitality of the shopping experience that is offered in Dundee.”
Overgate General Manager Karen Stewart said, “Lend Lease has been working closely with Dundee City Council to progress the proposed extension and we are delighted to have reached this milestone.
“In this challenging market we will continue to work with our investors, retailers and other partners to enhance Overgate and realise the potential that Dundee has to offer as a premier retail destination in Scotland in years to come.”
An extension was first mooted about three years ago, but the scale of the proposal, along with other matters, meant it had to be referred to the then Scottish Executive for approval.
That was forthcoming in April, 2006, and Lend Lease and the council have since been working behind the scenes to make the extension possible.
In particular, negotiations are thought to have taken place with the Salvation Army, a windscreen replacement outlet and a Lidl supermarket. They are understood to have largely involved access to the site of the extended centre.
If it goes ahead in the form originally proposed by Lend Lease, the extension would see 40 new shops, a food hall, an extension to two existing retail units and an extra 330 parking spaces.
The project would mean the creation of 400 construction jobs during a two-year building period and 500-600 more long-term jobs.
Lend Lease is known to have been talking to potential new tenants of an extended centre for several years. |
