CITY COUNCIL SET TO WALK AWAY FROM HOMES DEAL
BUILDER WANTS TO PAY LESS FOR LAND WORTH MILLIONS
LEICESTER mayor Sir Peter Soulsby says the council may walk away from a deal worth millions to sell land for homes, writes Dan Martin.
The council approved a £750,000-per-acre deal with Morris Homes in 2015, to build 102 properties on the eight-acre Franklyn Fields site in Aylestone.
Planning permission was granted in 2017.
But Sir Peter told the last full council meeting: “There have been protracted discussions with the company that won the tender and it has attempted to negotiate down the sum it had agreed to pay.
“If it continues to cause delay and does not agree a proper price then I would be minded to pull out of the deal and place the land back on the open market – on the same planning conditions.”
A MULTI-MILLION pound deal to build homes on the edge of Leicester could collapse.
The city council said it is set to walk away from an agreement to sell the eight-acre Franklyn Fields site in Aylestone to a developer, which would build 102 homes on the green space.
The city council approved the £750,000-per-acre deal with Morris Homes in 2015 and planning permission was approved in 2017.
But three years on the sale has not been completed.
Mayor Sir Peter Soulsby told councillors the developer was trying to get the council to accept a reduced price for the land.
The matter was raised by Aylestone ward councillor Nigel Porter, who said residents of the area wanted to know what was going to happen with the land off Soar Valley Way.
Sir Peter told the last full council meeting: “There have been protracted discussions with the company that won the tender and it has attempted to negotiate down the sum it had agreed to pay.”
He said further discussions would be held this week, adding: “If it continues to cause delay and does not agree a proper price, then I would be minded to pull out of the deal and place the land back on the open market.”
Coun Porter said he would welcome the council walking away from the deal but asked for assurances that residents would be consulted on any future alternative proposals.
Sir Peter said: “Were we to pull out of this deal, which at the moment is what I would be minded to do, we would place the land back on the market on the same planning conditions as exist at the moment.”
The agreed deal would see 20 affordable homes built on the site.
More than 700 people opposed it before it was approved by the council.
Residents listed concerns which ranged from a loss of a large area of public space to increasing traffic on the already congested Lutterworth Road and the nearby Soar Valley Way, with the added pollution and noise.
The site had previously been considered as a potential park and ride site for southern edge of the city, before Enderby was selected.
The Mercury has contacted Morris Homes for comment.
If they continue to cause delay I would be minded to pull out of the deal
Sir Peter Soulsby