City severs ties with developer who couldn’t deliver

The authority announced just ten weeks ago that Hammerson would no longer be delivering the former Sevenstone project as the company could not commit to delivering the scheme. This was despite the promise by city hall bosses of a £45m City Deal funding boost to get things moving.

As reported in the Yorkshire Post, the council has been on the search for a new developer since July.

It has now formally dropped the legally agreed development with Hammerson, and instead is working on developing its emerging New Retail Quarter project.

Councillor Leigh Bramall, Cabinet Member for Business, Skills and Development at Sheffield City Council, said: “We are taking decisive and clear action to deliver a New Retail Quarter for Sheffield.

“Today’s announcement marks the formal legal termination.

“We will bring a brand new scheme forward for the people of Sheffield. A high class regional shopping and leisure facility that would compete with other city centres such as Manchester, Leeds and Nottingham.”

Today’s news means the council can now press ahead with key areas of work while a new development partner or investor is found.

The authority says it has been approached by several potential developers and investment companies regarding the new scheme.

A full review of the New Retail Quarter proposals is already underway. Options could include the creation of a Collaborative Development Vehicle (CDV), which could allow early development works to be started until a new lead-developer is signed up and can take over.

Coun Bramall continued: “There’s no reason why the New Retail Quarter can’t go ahead now.

“There is certainly confidence in the city, and interest in taking a retail development forward.”

The initial plans included up to 700,000 sq ft of retail space with extensive food and entertainment venues along with a multi-storey car park.