New innovation centre will 'maximise the value of mountain biking' in the Scottish Borders
'We know it has not been a straightforward process...'
Last updated 4th Sep 2025
New designs for a mountain bike innovation centre in the Scottish Borders have been approved.
Demolition of the Caerlee Mill in Innerleithen is expected to get underway next month to pave the way for the £19 million development.
Once complete, the new building - due to open in 2027 - will boast bike engineering workshops, events space, offices and meeting rooms.
The project, which is being funded by the Borderlands Inclusive Growth Deal, includes cash for an adventure bike park and trail lab - details of which have still to be announced.
Previous plans to convert Caerlee Mill into a mountain bike innovation centre were ditched due to concerns over costs, after significant structural issues were discovered.
Led by South of Scotland Enterprise, with support from Scottish Borders Council and Edinburgh Napier University, the investment is expected to create more than 400 jobs in the region over the next ten years, and secure the area's reputation as one of the UK's leading cycling destinations.
SOSE chair, Professor Russel Griggs, said: “With planning permission and a proposed timetable now available, the local community and mountain bike industry can now start to see how our plans are going to become reality.
“We know it has not been a straightforward process, and we thank local people, the mountain bike sector and partners for their patience and support.
“SOSE, with support of partners, will now press ahead to create the new facility, which will allow high value jobs to come to the South of Scotland and maximise the value of mountain biking to the area by getting more products and services designed and made here.”
Hub South East Scotland and its main contractor Morrison Construction have been appointed to carry out the work, with construction of the new building due to start in March 2026.
UK Government Scotland Office Minister Kirsty McNeill said: "I welcome this major step forward towards the Mountain Bike Innovation Centre in Innerleithen opening for business, bringing jobs and investment to the region and attracting riders from across the country and beyond to a world-class facility."
And Scott Hamilton, Scottish Borders Council’s Executive Member for Economic Growth and Developing the Borders, added: “Approval of the revised plan is a major milestone, allowing work to restart on site, and it will be exciting to see the redevelopment of this brownfield site in the heart of the Innerleithen community into a thriving, vibrant and innovative space for business, technology and learning.”
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