TMCnet News

Store wars over council land bid
[August 24, 2006]

Store wars over council land bid


(The Star (Sheffield) Via Thomson Dialog NewsEdge) THE Co-operative Group is threatening a judicial review over the way Barnsley Council chose the developer for a new supermarket in Penistone.

The Co-op which owns an existing store in the town and wanted to build the new supermarket, says the council has reversed a key decision in its 2003 Forward Plan and opened exclusive talks with Dransfield Properties, acting on behalf of Tesco.



Both the Co-op and Tesco originally made bids for the council land within the designated Penistone Markets Development Area.

In 2003, the council rejected both bids and took control of the entire site itself, saying it would use compulsory purchase powers if necessary.


The Co-op says the council resolved in its 2003 Forward Plan "not to treat with any prospective developers who now seek to acquire any part of the site within the defined area".

Since then, part of the site has been bought by Dransfield Properties and the council has resolved to negotiate only with Dransfield.

Peter Hallsworth, Group Development Manager for the Co-operative Group's Property Division, said: "Having previously put in a bid for this site, we acted on the council's ruling in good faith and refrained from attempting to purchase any land within the development area.

"Now we find that for reasons which remain unclear to us, the council has suddenly changed its mind, stood a key ruling on its head and has resolved to deal exclusively with one developer.

"In response to our inquiries, Barnsley Council has told us that it has changed its mind because Dransfield's land purchase now means it can assemble the site without resorting to compulsory purchase - in which case we have to ask why the ruling was made in the first place? "We are committed to bringing a new food store featuring the best in modern retailing standards to Penistone but if we view the current situation as a competitive football match, the referee has ordered our team off the field while the opposing side take a free kick at an open goal." A spokesman for the council said: "Dransfield Properties Ltd has acquired all the remaining private interests within the Penistone development area.

"DPL have approached the council to discuss how the council and DPL can work together to deliver the planning brief.

"In return the council has agreed to enter into negotiations subject to the development meeting the requirements of the planning brief and the council receiving value for money for its land."

Copyright 2006 Johnston Press Plc.

[ Back To TMCnet.com's Homepage ]