Eastleigh council spends £345k a year maintaining empty business centre

Wessex House was shut due to fire safety risks, repairs deemed uneconomic

Author: Noni Needs, Local democracy Reporter and Maria Greenwood Published 19th Jan 2026

A council is spending £345,165 a year on running an empty business centre that it had to close over fire safety risks, it has emerged.

Eastleigh Borough Council is spending the money on Wessex House in Upper Market Street, which it bought for £4.4million more than 20 years ago.

But it had to kick out all tenants when in February 2025 it emerged there were fire safety risks. All businesses left by the end of May,

Initial estimates to make repairs ranged from £6.6 million to £7.6 million to partially demolish and strip the building of asbestos.

Repairs have been branded “uneconomic” but the council’s opportunities to sell the building are restricted until until 2028, a report said.

Councillors have been looking at the problems and a report to the borough’s policy and performance scrutiny panel on January 15 revealed it costs £345,165 a year to maintain even though it is shut.

Councillor Karen Caws (Independent, Bishopstoke) said: “I run my own small business and if I was this much in debt, I would be very worried.

“It seems like it’s monopoly money to the council.”

Cllr Caws said she was “outraged” at the initial refurbishment cost estimates.

She said: “It is crazy that this has happened. I am gobsmacked.

“The council bought the building for £4.4million and it’s going to cost a third more to repair due to asbestos.”

The council must pay business rates of £245,165 a year. That could be repaid if it is no longer a council asset. Other ongoing costs are £80,000 each year for electricity, gas, water, and maintenance.

Head of property at the council, Ali Mew, said the building has been on the government’s waiting list to be deleted as a council asset for a year.

Mrs Mew added: “It’s a huge responsibility to move voids, empty buildings, on.

“It would take the right offer to break the contract before 2028.”

The report will now go before the audit and resources committee on Monday, January 19, with the recommendation that there is an annual report from the council’s corporate health and safety manager “on the key risks or obstacles with statutory checks to provide transparency”.

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