Birmingham council is preparing to submit plans for the £42.4m refurbishment of Centenary Square in the city’s enterprise zone.
The plans also include the extension of the Midland Metro tram line.
In 2011, the Greater Birmingham & Solihull Local Enterprise Partnership approved the creation of the city centre enterprise zone, which comprises 26 key investment sites across the city centre and which could boost the local economy by £2bn.
The council may need to provide funding of up to £25m towards the overall cost of the Metro extension and refurbishment of Centenary Square.
This will be funded via prudential borrowing and to be repaid through the uplift in business rates that the GBSLEP is able to retain from businesses that move into the EZ.
The proposals also include funding from the EZ and are supported by the local transport board and the GBSLEP.
Chris Webster, GBSLEP board director with responsibility for the EZ, said: “Right across the EZ we can see progress on the ground. Paradise Circus is rapidly moving forward to a start on site following the approval of enterprise zone resources and just a stone’s throw away work is already under way on the Arena Central site, preparing the way for a 250-bedroom Holiday Inn Express hotel.”
lisa.pilkington@estatesgazette.com
