London & Cambridge Properties £100m plans for a giant retail and leisure scheme at Burntwood, in Lichfield, West Midlands, have been turned down by the secretary of state.
The proposed 420,882 sq ft (39,100 sq m) mixed-use scheme included plans for 234,000 sq ft (21,739 sq m) of outlet shopping, 69,000 sq ft (6,410 sq m) of retail warehousing, 22,000 sq ft (2044 sq m) of restaurants and 96,000 sq ft (8,918 sq m) of leisure.
The secretary of state said the Burntwood application went against the overall development plans for Lichfield and Staffordshire, that the need for it had not been proven and that its scale was not appropriate for the catchment area of Burntwood.
The scheme had sparked fears that it would draw business away from Walsalls planned regeneration projects, including its Waterfront leisure development as well as Shannons Mill.
The decision is a huge boost for St Modwen and WA Goolds £50m rival scheme – Shannons Mill in Walsall, clearing the way for the 250,000 sq ft (23,225 sq m) designer outlet, which had been in the shadows of the Burntwood scheme to date.
The converted mill will now be the only factory outlet centre in the region.
Walsall councillor Ian Shires welcomed the secretary of states decision: “Walsall has had a stream of much-needed good news on regeneration in the last few weeks.
“Innovative schemes like Shannons Mill will ensure that Walsall is a competitive destination compared to Birmingham, Wolverhampton and the Merry Hill shopping complex.”
Derek West, retail director at St Modwen, said: “Shannons Mill has always been an attractive prospect – however the uncertainty around the Burntwood scheme cast a slight shadow over our discussions with a handful of retailers who wanted to see what the outcome of the public inquiry would be.
“Now our way is clear not only to let the scheme, but to select the operators that we feel will best suit this development, and to get the tenant mix absolutely right.”
Around 40,000 sq ft (3,716 sq m) of the 150,000 sq ft (13,935 sq m) first phase is in solicitor’s hands, with a further 40,000 sq ft (3,716 sq m) at the heads of terms stage.
Shannons Mill has detailed planning for 250,000 sq ft (23,225 sq m). Construction will begin on phase one in summer 2003.
The scheme is one of the first inner city/town factory outlet developments in the UK, located adjacent to Walsall high street retail.
Markham Vaughan Gillingham and Lambert Smith Hampton are the agents for Shannons Mill.
EGi News 17/12/02
