Council agree to sell former TK Maxx building

A council said it hoped a former TK Maxx building could be turned into a mixed residential and commercial development.

Peterborough City Council's cabinet members agreed to sell the Bridge Street building at a meeting on 15 July, as it was "no longer economically viable".

It was bought by the local authority for £4.1m in 2020 with the aim of using it for a £15m community hub project known as The Vine.

A feasibility commissioned by Tetra Tech in July 2022 said the cost of the necessary works was about £10.8m, making the project no longer viable.

A marketing exercise to sell the vacant four-storey building will conclude in the autumn.

Nick Thulbourn, the council's cabinet member for growth and regeneration, told the meeting on 15 July, "62-68 Bridge Street is a prominent city centre site with development potential currently underutilised".

Adrian Chapman, the executive director of place and economy at the authority, said: "We should be proud of this site. At the moment it is difficult to be because the building is a slug of a building.

"I imagine it with something on there which is iconic in style and nature and is a real gateway into our city centre."

He added: "This is a really significant site in our city centre and a site that deserves a building upon it which is of some significance, of quality and offers real value to the High Street.

"It's seen as part of our wider regeneration programme for the city centre."

The building will go on the open market and the authority is open to all offers including development opportunities.

The Local Democracy Reporting Service said before going out for informal tender the local authority had to pay for marketing fees (£15,000), a development brief (£10,000), surveys (£10,000) and legal fees (£5,000).

Following the marketing of the building other costs would include, agent disposal fees (highest of 1.5% of sale price or £40,000), legal fees (highest of 1% of purchase price or £35,000) and a section 123 best consideration valuation – RICS Registered Valuer (£10,000).

The council said it would achieve value for money by appointing professional advisers through a national local authority framework.

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