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A Major Step Forward For Redevelopment Of Luneside East

Plans to regenerate a derelict and contaminated riverside site in Lancaster took a major step forward this week - with the formal appointment of a lead developer for the site and agreement to move an operational gasholder.

Luneside East is a 6.5 ha brownfield site on Lancaster’s historic River Lune waterfront. A largely derelict site, grossly contaminated by its previous uses, it also contains an operational gasholder and lies within a flood risk area. The reclamation and redevelopment of this important site is Lancaster City Council’s main regeneration priority in the city.

The Council has secured funding from the national regeneration agency, English Partnerships, the Northwest Regional Development Agency (NWDA) and the European Regional Development Fund to acquire the site, move the gasholder and secure flood protection.

Following a competition earlier this year, the Council has now formally contracted with Manchester based developer CTP Ltd and Development Securities PLC as joint lead developer of the site. The developer will clean up the site and co-ordinate the redevelopment of around 350 new homes, 8,000 sq m of new offices, together with supporting uses such as a hotel, small shops, cafes and bars. Work is scheduled to commence on site late in 2006. The Council must first acquire the remaining land, preferably by agreement.

However, it has instigated compulsory purchase proceedings and a public inquiry will be held in January if all objections to the CPO have not been withdrawn. Removing the operational gasholder is essential for the redevelopment. The Council has now contracted with the energy transmission utility, National Grid to decommission and demolish the holder and this will involve providing new gas pipeline and replacement storage engineering. National Grid has also agreed to sell its land holdings on the site to the Council, to make way for the development.

More good news is that the Environment Agency has started work on the Lower Lune Flood Protection Scheme. By the end of 2006, the entire length of the built up riverside west of Carlisle Bridge, including Luneside East, will be very well protected from flooding.

Chair of the Luneside East Advisory Board and Lancaster City Council Cabinet member for regeneration, Coun Abbott Bryning said, “Lancaster City Council and its partners are on course to making a real difference to this neglected and worn out area of Lancaster's industrial past.

"The ambition is to transform it into an imaginative mixed development of an urban village with modern commercial facilities, a park and open spaces with an attractive waterfront. The whole scheme will complement the improved quayside with links through to the castle priory precinct and city centre. It will provide jobs, homes, enterprise and devolved public space." Guy Illingworth of CTP said, "CTP and Development Securities are delighted to be involved in such an exciting regeneration project."

Neil Clarke, English Partnerships’ Senior Regeneration Manager said, “English Partnerships’ investment will help transform this derelict site into a vibrant and exciting place. We look forward to working with the partners to achieve the highest possible standards of quality on this important riverside site.”

Ian Whittaker, NWDA Area Manager for Lancashire, said, “The NWDA has been working closely with our partners on this important project for Lancaster and we are pleased to be contributing to it. Luneside East provides a fantastic opportunity for private sector led redevelopment to make a real and lasting impact, adding to Lancaster’s riverside commercial, leisure and residential offer near to the city centre.

“This impressive development will add to significant regeneration already achieved around the Millennium Footbridge and further boost Lancaster’s growing reputation in the Northwest as a vibrant, high quality location in which to live and to do business.”

In a statement, National Grid said, “We welcome the important contribution this gasholder site will make to the Luneside regeneration project. Subject to all necessary agreements being secured, we can now plan for the holder’s demolition and appropriate pipeline re-engineering works to begin”.

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