Charity takes £70k trams bill fight to the government
● Arts group out of funds after £10m spent on restoring council building
A charity has taken a fight over a £70,000 bill for Edinburgh’s tram network to the Scottish Government.
Edinburgh Printmakers obtained planning permission to redevelop a derelict building in the capital’s Fountainbridge area and turn it into a luxury arts studio, gallery and cafe.
The move in 2017 saved the 19th-century Castle Mills building, which is now rented from the City of Edinburgh Council for just £1 a year, from almost certain demolition.
The charity raised £10 million to transform the building and, as part of the plans, entered into an agreement with the council requiring a contribution be made to the city’s trams. Last year they asked the council to discharge their planning obligation to pay £70,314.29 to the tram project and stated they had no funds available and would have to borrow money to cover the costs.
The charity, which was set up in 1967 and employs 20 people, has an income of £350,000, but also encounters running costs of £350,000 and works on a “break-even” model.
Bosses also said additional costs of refurbishing the building only came to light after the tram contribution had been put in place by the council and that they had turned a derelict building into an “asset”.
But their request was refused by city planners, who insisted Edinburgh Printmakers would still have to hand over the cash.
They have now appealed that ruling to the Scottish Government and claim that if forced to pay, they will be “curtailed” in their charity work and could have to lay off staff.
In a letter supporting their appeal, they said: “The cost of the additional works required to remediate the appeal site were well in excess of the level of the tram contribution.
“The works were required due to the continued deterioration of the building’s condition, which occurred during the time responsibility for maintenance of the building was with the council.
“The council, as landowner, benefits from the refurbishment works, including the additional repair works carried out by the appellant.
“Whereas Castle Mills was once a liability for the council, it is now an asset. The unexpected repair works required to the council’s property have exhausted the grant funding and public donations, such that the appellant has been forced to seek loan financing to enable them to complete the development.”
Throwing out the bid, the council told them: “The applicants’ request to discharge the planning obligation, in the absence of compliance with the tram financial contribution provisions, is not acceptable.
“The developer had full knowledge of the policy requirement of this planning obligation.”
A government reporter will issue a decision in due course.