£1.3m loan scheme could help transform city centre properties

Derby City Council has announced plans for a £1.3 million loan which could help breathe new life into neglected city centre properties.

According to the council, the loan could kick-start £11 million of private investment, which would see building bought and refurbished to provide residential units, office space, retail and hospitality units.

Details of which private developers are involved and which buildings would be revamped have not yet been revealed for commercial reasons.

However, the properties are located in areas of the city centre where regeneration is already underway nearby.

The council said that the private company behind the proposed scheme involves property investors with a track record for delivering commercial and residential properties, both locally and nationally.

The properties, once completed and occupied, would be expected to generate an additional £100,000 a year in business rates alone for the council, with further income from Council Tax payments by the new residents.

Councillor Nadine Peatfield, the city council’s cabinet member for city centre, regeneration, culture and tourism, said: “We’re committed to working with our partners to enable fresh and exciting ideas to put the heart back into our city centre.

“The council’s financial position means we need to make sensible, strategic decisions to support partnership investment in order to fulfil our vision for Derby city centre.

“This scheme has the potential to create new business opportunities, make the area more attractive and generate income for the council in the long term.

“We are excited to support such key investment in our high street.”

The loan is subject to cabinet approval at its next meeting, which will take place on Tuesday 12 September.