Tesco is being sued by the Secretary of State for Health over plans to develop a hospital site as a superstore.
The supermarket giant says it agreed to buy the former South London Hospital for Women at Clapham Common with the price depending on the type of planning permission obtained.
The planned foodstore was to be a 26,100 sq ft development, with 85 flats, five plant rooms, two shops and associated parking.
A planning application was turned down, and the appeal was dismissed because, according to the writ, Tesco’s plans included the demolition of an existing building on the site called the Cooper Building.
The planning inspector claimed Tesco’s plans for the site would harm the established character and appearance of the Clapham Conservation Area and he could not find sufficient justification for demolition of the Cooper Building.
The writ says there is no realistic prospect that Tesco’s plans for a reduced development of the site will be successful unless the Cooper Building is retained.
The company’s solicitors wrote to the Secretary of State’s lawyers on September 18 1998 saying that Tesco could not be required to pursue an application that involved keeping the Cooper Building.
Tesco has submitted draft plans for a reduced development, but the Secretary of State’s surveyors, Jones Lang Wootton, require these to be amended to retain the Cooper Building.
The Secretary of State is claiming damages for alleged losses, which include the amount that would have fallen due under the agreement if satisfactory planning permission had been obtained. The writ also seeks specific performance of the agreement, an order to make Tesco abide by the approval procedure in the agreement and an order to make Tesco lodge an approved planning application with the local authority as soon as plans have been approved by its surveyors.
In addition, the Secretary of State wants a declaration that his surveyors are entitled to require Tesco to change its plans and to withhold approval unless the plans envisage keeping the Cooper Building. The writ was issued by solicitor Beachcroft Stanleys.
PLS News 13/11/98