MAB and Great Portland Estates (GPE) have settled their long-running feud over the funding agreement for the £90m Western Sector Shopping Centre in High Wycombe, Buckinghamshire, with an out of court settlement.
The agreement leaves MAB free to find alternative funding for the development, which is to be anchored by House of Fraser.
GPE surprised MAB, its development partner for the 43,500 sq m (445,000 sq ft) scheme, in November 2000 when it announced it was reviewing its £90m commitment to finance the development.
Terms for the joint venture were agreed in March 1999 and were originally meant to last for two years. But the project, which is next to GPE’s Octagon shopping centre, involves expensive land assembly, including the compulsory purchase of a 3,716 sq m (40,000 sq ft) Tesco superstore.
Since then the scheme has gained planning consent and the Compulsory Purchase Order for the site assembly was confirmed in May 2000.
The development, which has been promoted by Wycombe council, will include a new bus station, library, multiplex cinema and health and fitness club.
Work on site is expected to begin in September 2002. MAB’s Managing Director, David Easson, said: ‘We are pleased that this matter has been settled amicably, enabling us to focus on our main objective of delivering this scheme.
GPE’s David James added: ‘As owner of the Octagon Centre we have always supported the Western Sector development and we will continue to work with MAB and Wycombe council to see a successful integration of the schemes.”
EGi News 04/07/01
