Belfast Council to Scrap £245,000 Deal in Student Housing Project

Strategic Insights -

Belfast Council is set to cancel a six-figure sum it was due to receive from a developer behind a £65m student housing project. The Council had agreed to do public realm construction connected to the scheme, with developers Elkstone Partners handing over £245,000 to cover the cost. However, officials now fear that might not be enough, and want to pull out of their end of the agreement.

Key Takeaways:

  • The Belfast Council is considering abandoning its £245,000 deal with Elkstone Partners to cover public realm construction costs.
  • The Council fears that the £245,000 might not be enough to cover the cost of the work.
  • Officials now think Elkstone Partners should deliver the public realm construction directly, which would be "more straightforward and generally more favourable" than handing the Council £245,000.
  • The student housing block, set to replace a disused 42,000 sq foot office building, will see 39 Corporation Street replaced with a 20-storey building.
  • The developer, Elkstone Partners, plans to rent up to half of the 895 rooms out as short-term lets during non-peak periods.
  • The Council's decision is set to come under review this week, with councillors voting on pulling out of the connected public realm work.

Statistics:

  • £65m: The value of the student housing project.
  • £245,000: The agreed amount Elkstone Partners was to hand over to the Council for public realm construction costs.
  • 895: The number of rooms in the planned student housing block.
  • 20: The number of storeys planned for the new building.
  • 42,000 sq foot: The size of the disused office building set to be replaced.

Sources:

  • "Council reports seen by the News Letter"
  • News Letter article on the enrollment of the £65m student housing project.
  • https://newletter.co.uk/