Wakefield Council ‘unable to finalise fair price’ for The Ridings Shopping Centre
In February, senior councillors agreed to buy the ageing mall to make way for major regeneration of the city centre.
Wakefield Council has been ‘unable to finalise a fair price’ to buy The Ridings Shopping Centre, the authority’s chief executive has said.
In February, senior councillors agreed to buy the ageing mall to make way for major regeneration of the city centre.
Plans include demolishing the centre to build new homes, leisure facilities and spaces for events as part of a project which is expected to take more than a decade to complete.
The scheme also involves bulldozing a number of 1960s residential tower blocks as part of the creation of a new ‘Cathedral Quarter.’
A council statement issued on Monday (April 20) confirmed that negotiations with centre owner Zahid Iqbal had stalled, but added: “If we need to, we will acquire the shopping centre by a different route.”
Earlier, opposition councillor Samantha Harvey published an image of herself with Mr Iqbal in a Facebook post which said “Ridings deal is off.”
The Reform councillor’s post said: “Met with the owner of The Ridings this morning.
“No surprises that it now looks like Labour’s “once in a generation” city centre regeneration plan is now in tatters.”
Mr Reeves’ statement said: “We’re disappointed that we haven’t been able to finalise a fair price to buy The Ridings.
“But at every stage we’ve been clear about the need to provide value for money for the public.
“We made a fair and reasonable offer in good faith based on occupancy levels and income figures provided by the owner of The Ridings.
“A due diligence process then robustly and independently assessed the figures we’d been given.
“This found there was insufficient evidence to support the numbers – they simply didn’t stack up.
“We then agreed a deal with the owner based on the outcome of the due diligence process, only for that agreement to be reneged on.
“The commitment to securing the future Wakefield deserves, and to develop and consult on proposals for a new Cathedral Quarter, will continue.”
The first phase of the project is due to be funded through £17.9m from the Ministry of Housing, Community and Local Government (MHCLG).
The council previously planned to buy the 1980s-built centre but backed out of making a deal in December 2022.
The centre was then bought by Yorkshire-based businessman Mr Iqbal.
In January, Marks & Spencer announced it would be moving out of The Ridings and opening a new food hall on the outskirts of the city centre.
Primark has also revealed plans to relocate from the centre to another part of the city later this year.
Mr Reeves’ statement continued: “Our offer is still on the table.
“The door remains open to the shopping centre owner to reach a deal that reflects the true value of The Ridings and provides good value for the public.
“But if we need to, we will acquire the shopping centre by a different route.
“Wakefield needs to change to survive.
“By the end of the summer, Primark will have moved to a new home in Trinity Walk and M&S will have confirmed a leaving date.
“The challenges will continue to get more acute.
“A nearby shopping centre that lost an established Primark saw footfall drop by 60% within weeks.
“Bold transformation is the right thing to do for the long-term future of Wakefield.”
The Ridings Centre has been contacted for comment.