Agenda Document Pack - Economy and Regeneration Policy Board - 07/11/2023
Renfrewshire Council · 7 November 2023
Back to Economy and Regeneration Policy Board — 7 November 2023 and its agenda
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Notice of Meeting and Agenda Economy and Regeneration Policy Board Date Time Venue Tuesday, 07 November 2023 10:00 Council Chambers (Renfrewshire), Council Headquarters, Renfrewshire House, Cotton Street, Paisley, PA1 1AN MARK CONAGHAN Head of Corporate Governance Membership Councillor Andy Steel (Convener): Councillor Michelle Campbell (Depute Convener): Councillor Alison Ann-Dowling: Councillor Stephen Burns: Councillor Graeme Clark: Councillor Andy Doig: Councillor Neill Graham: Councillor Lisa-Marie Hughes: Councillor Colin McCulloch: Councillor Jamie McGuire: Councillor Marie McGurk: Councillor Iain McMillan: Councillor John McNaughtan: Councillor Iain Nicolson: Councillor Jim Paterson: Hybrid Meeting Please note that this meeting is scheduled to be held in the Council Chambers. However, it is a hybrid meeting and arrangements have been made for members to join the meeting remotely should they wish. Further Information This is a meeting which is open to members of the public. A copy of the agenda and reports for this meeting will be available for inspection prior to the meeting at the Customer Service Centre, Renfrewshire House, Cotton Street, Paisley and online at http://renfrewshire.cmis.uk.com/renfrewshire/CouncilandBoards.aspx For further information, please email democratic-services@renfrewshire.gov.uk Members of the Press and Public Members of the press and public wishing to attend the meeting should report to the customer service centre where they will be met and directed to the meeting.
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Webcasting of Meeting This meeting will be filmed for live or subsequent broadcast via the Council’s internet site – at the start of the meeting the Convener will confirm if all or part of the meeting is being filmed. To find the webcast please navigate to https://renfrewshire.public-i.tv/core/portal/home
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Apologies Apologies from members. Declarations of Interest and Transparency Statements Members are asked to declare an interest or make a transparency statement in any item(s) on the agenda and to provide a brief explanation of the nature of the interest or the transparency statement. 1 Revenue and Capital Budget Monitoring Report as at 15 September 2023 Joint report by Chief Executive and Director of Finance & Resources. 1 - 8 2 Scotland Loves Local Update 2 Report by Chief Executive. 9 - 18 3 Retail Improvement Scheme – Update and Next Steps Report by Chief Executive. 19 - 32 4 Shared Prosperity Funding: Business Challenge Fund Report by Chief Executive. 33 - 38 5 Town Centre Vacancy Taskforce – Vacant Shops Grant Scheme Report by Chief Executive. 39 - 48 6 Paisley Centre redevelopment - update Report by Chief Executive. 49 - 56
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To: Economy and Regeneration Policy Board On: 7 November 2023 Report by: Chief Executive and Director of Finance and Resources Heading: Revenue and Capital Budget Monitoring as at 15 September 2023 1. Summary of Financial Position 1.1. The projected revenue outturn at 31 March 2024 for those services reporting to the Economy and Regeneration Board is an underspend position of £0.030 million (1.0%). 1.2. The projected capital outturn at 31 March 2024 for projects reporting to the Economy and Regeneration Policy Board is a breakeven position against the revised budget for the year of £35.201 million. 1.3. This is summarised in the table below and further analysis is provided in the Appendices. Table 1: Revenue Division Revised Annual Budget £000 Projected Annual Outturn £000 Budget Variance (Adv) / Fav £000 Budget Variance % Economy and Development 3,042 3,012 30 1.0% Table 2: Capital Division Revised Annual Budget £000 Projected Annual Outturn £000 Budget Variance (Adv) / Fav £000 Budget Variance % Economy and Development 35,201 35,201 0 0% Item 1 EAR071123 Page 1 of 56
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2. Recommendations 2.1. Members are requested to: (a) Note the projected Revenue outturn position detailed in Table 1 above; (b) Note the projected Capital outturn position detailed in Table 2 above; and (c) Note the budget adjustments detailed at sections 4 and 6. 3. Revenue 3.1. The Revenue Budget Monitoring report at Appendix 1 identifies a projected underspend of £0.030 million (1.0%) for all services reporting to this Policy Board. Detailed division service reports can also be found here, together with an explanation of any significant projected variances. 3.2. The projected outturn is based on information currently available, and assumptions made by service budget holders. Any changes to these projections will be detailed in future reports to the Board. 3.3. The main reasons for the projected outturn position are indicated below the tables showing both the subjective analysis (what the budget is spent on) and the objective analysis (which division is spending the budget). 4. Revenue Budget Adjustments Members are requested to note, from Appendix 1, that budget adjustments totalling (£0.051 million) have been processed since the previous report to board, which relate to a realignment of employee cost budgets. A budget adjustment (net zero impact) has been processed to increase both income and expenditure to reflect funding secured from external sources to support the delivery of the employability programme over the course of financial year 2023/24. 5. Capital 5.1. The Capital Investment Programme 2023/24 to 2027/28 was approved by the Council on 2 March 2023. For Economy and Regeneration the approved capital spend for 2023/24 is £43.201m. 5.2. The Capital Monitoring report at Appendix 2 indicates net budget adjustments to date in the 2023/24 approved capital programme for Economy and Regeneration of (£8.000m), largely as a result of reprofiling budget from 2023/24 into 2024/25 for Paisley Museum and Town Centre Capital Fund. 5.3. Further detail, including reasons for significant variances (where applicable), can be found at Appendix 2. Page 2 of 56
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6. Capital Budget Adjustments 6.1. Since the last report, budget changes totalling (£8.000m) have arisen which reflect the following: Budget carried forward into 2024/25 for updated cashflows (£8.000m): o Paisley Museum (£6.000m) o Town Centre Capital Fund (£2.000m) ______________________________________________________________ Implications of this report 1. Financial – The projected budget outturn position for the revenue budget reported to the Economy and Regeneration Policy Board is an underspend of £0.030m. Income and expenditure will continue to be monitored closely for the rest of the financial year and, where necessary, steps will be taken to mitigate any overspend. The projected outturn position for capital budgets reported to the Economy and Regeneration Policy Board is breakeven. The Capital programme will continue to be monitored closely for the rest of the financial year. Any changes to current projections in either Revenue or Capital budgets will be reported to the board as early as possible, along with an explanation for the movement. 2. HR and Organisational Development None directly arising from this report. 3. Community/Council Planning None directly arising from this report. 4. Legal None directly arising from this report. 5. Property/Assets The Capital expenditure in this board will result in improvements to Culture and Heritage assets and delivery of strategic place-shaping and regeneration. 6. Information Technology None directly arising from this report. 7. Equality and Human Rights The recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts Page 3 of 56
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on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report because for example it is for noting only. If required following implementation, the actual impact of the recommendations and the mitigating actions will be reviewed and monitored, and the results of the assessment will be published on the Council’s website. 8. Health and Safety None directly arising from this report. 9. Procurement None directly arising from this report. 10. Risk The potential risk that the Council will overspend its approved budgets for the year will be managed at a Council-wide level by the Chief Executive and Directors. 11. Privacy Impact None directly arising from this report. 12. 13. Cosla Policy Position N/a. Climate Risk None directly arising from this report. __________________________________________________________________ List of Background Papers __________________________________________________________________ Authors: Valerie Howie, Finance Business Partner (Revenue) and Linsey McGregor, Senior Accountant (Capital) Page 4 of 56
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Appendix 1 Objective Summary Annual Budget at Period 3 Budget Adjustments Revised Annual Budget at Period 6 Projected Outturn Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Economy and Regeneration Management 146 0 146 145 1 0.7% 2 (1) Economic Development 1,900 (141) 1,759 1,759 0 0.0% 0 0 Regeneration 1,047 90 1,137 1,108 29 2.6% 0 29 NET EXPENDITURE 3,093 (51) 3,042 3,012 30 1.00% 2 28 Objective Heading Key Reasons for Projected Variance Economy and Regeneration Management Economic Development Regeneration RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2023/24 1 April 2023 to 15 September 2023 Budget Variance (Adverse) or Favourable POLICY BOARD : ECONOMY AND REGENERATION No significant projected year end variances to report. No significant projected year end variances to report. The projected underspend relates mainly to a higher than expected level of staff turnover. Page 5 of 56
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Appendix 1 Subjective Summary Annual Budget at Period 3 Budget Adjustments Revised Annual Budget at Period 6 Projected Outturn Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Employees 4,889 (51) 4,838 4,776 62 1.3% 43 19 Premises Related (16) 96 80 87 (7) (8.8%) 1 (8) Transport Related 3 0 3 4 (1) (33.3%) (1) 0 Supplies and Services 30 286 316 318 (2) (0.6%) 0 (2) Transfer Payments 891 3,751 4,642 4,630 12 0.3% 0 12 Support Services 40 (1) 39 40 (1) (2.6%) 0 (1) GROSS EXPENDITURE 5,837 4,081 9,918 9,855 63 0.6% 43 20 Income (2,744) (4,132) (6,876) (6,843) (33) (0.5%) (41) 8 NET EXPENDITURE 3,093 (51) 3,042 3,012 30 1.0% 2 28 REVENUE BUDGET MONITORING STATEMENT 2023/24 1 April 2023 to 15 September 2023 Budget Variance (Adverse) or Favourable RENFREWSHIRE COUNCIL POLICY BOARD : ECONOMY AND REGENERATION Page 6 of 56
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Appendix 2 Page 7 of 56
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___________________________________________________________________ To: Economy and Regeneration Policy Board On: 7 November 2023 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Scotland Loves Local Update 2 ___________________________________________________________________ 1. Summary 1.1 The purpose of this report is to provide a further update on the Scotland Loves Local scheme in Renfrewshire. It highlights current take-up and spend to date and sets out future Council objectives for the scheme and the associated marketing and activities plan to achieve these. ___________________________________________________________________ 2. Recommendations 2.1 It is recommended that the Board: (I) Notes the content of this report; (II) Approves the proposed objective framework and associated marketing and activities plan; (III) Authorises the Head of Economy and Development to continue the scheme until May 2025. _________________________________________________________ 3. Background 3.1 The Scotland Loves Local campaign is a national initiative designed to encourage all those who live in Scotland to think and spend local. It has the potential to stimulate local spending in towns across Scotland through having a thriving circular economy based on residents supporting local businesses, ensuring that money stays in the community for longer. Like any gift card, users can choose the amount of money to load on the card, which can be spent at participating businesses within the Local Authority area. Item 2 EAR071123 Page 9 of 56
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4. Scotland Loves Local objectives 4.1. Scotland Loves Local was launched in 2021 to support the economic recovery of town centres post-pandemic. The programme is championed by Scotland’s Towns Partnership, with Mi-Cnx responsible for administration of the scheme. 4.2 Initially, some Councils used funds from the Scottish Governments Local Authority Covid-19 Economic Recovery (LACER) scheme to top-up Love Local cards. Residents were then able to use the cards for day-to-day purchases i.e. essential food and household items. The main aim was to alleviate costs of living pressures. As such, the decision was made to allow larger retailers, such as supermarkets to be recipients of the scheme. As a result, the majority of spend across Scotland has been with recorded at larger multi and cross- national businesses. 4.3 Discussions with Scotland's Town Partnership have highlighted that as the scheme matures, there is an opportunity to refocus SLL so that more spend is recorded within town and village centres, supporting small and medium sized businesses. 5. Renfrewshire context 5.1. Currently there are 137 separate units signed up to the scheme in Renfrewshire – a full list is available in Appendix A. Most registrations are either within the Paisley First Business Improvement District, or large multi-nationals. 5.2. In the board update of May 2023, it was noted that a total of £31,873 had been spent on the Scotland Loves Local in Renfrewshire. As of 1 October 2023, this has now increased to £44,610. This reflects an increase of more than a third in spend over the last four months. 5.3 A significant portion of this increase came from one large local employer using the scheme to reward its staff. This highlights that large businesses using the scheme as a means of corporate gift-giving can help to support the continued growth and viability of the programme. 5.4 Moreover, statistics are showing a consistent spending with small local retailers showing that the scheme is improving amongst this cohort. We will continue to work with our partner Mi-Cnx to improve data monitoring to better understand the long-term trends and impact of the Gift Card in Renfrewshire. 6. Licensing 6.1 As previously reported to the Board on 23 May 2023, a licensing fee of £9,000 was paid to cover financial year 23/24. The annual order form was signed 24 May 2024. As per the terms of the license agreement, the Council have until 6 months from this date (i.e. 24 November 2024) to advise the administrator that they wish to terminate the agreement, otherwise the subscription terms will be automatically extended by a further period of 2 years. Officers are now seeking permission to use existing Council budgets to fund this scheme for a minimum of two further years. Page 10 of 56
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7. Proposed Outcomes 7.1. If the Council continues with the scheme, a framework of objectives has been developed by officers to ensure that Scotland Loves Local is effectively aligned with the Council’s strategic policy objectives – to create a thriving network of town and village centres, underpinned by inclusive sustainable economic growth. 7.2. This framework will guide our strategy to grow Scotland Loves Local across Renfrewshire over the next two years. Its focus shall be on ensuring that the programme is reorientated towards its original aims of supporting the local circular economy, thereby supporting our centres, our people, and our local businesses. The objectives are to: Grow the amount spent on the card by at least 150% over the next two years. Sign up an additional 30 SMEs to the scheme over the next two years, with a focus on businesses within Lochwinnoch, Erskine, Renfrew, and Johnstone. The Council will work closely with key stakeholders, such as Paisley First, Johnstone Business Consortium, and other relevant partners to achieve this objective. Increase the amount of money spent in SMEs by between 5 and 10% over the next two years to achieve a more equitable split in card revenue. 8. Associated Marketing and Communications Plan 8.1. Officers have developed a bespoke marketing package promoting Scotland Loves Local across Renfrewshire and meeting the associated objectives set out above. Initially the plan will run from October 2023 – March 2024 to support the development of the programme. This will include: Campaign motivating Renfrewshire’s large employers to use SLL scheme as a means of corporate giving/staff reward and incentive. A webinar outlining the corporate benefits of the scheme took place on 18 October and follow-up communication and engagement with large employers will continue during November, with partner support from the Renfrewshire Chamber of Commerce. Campaign encouraging SMEs across Renfrewshire to register for SLL scheme and become a place where local people spend the card/spend local. This will also use partner support from Renfrewshire Chamber of Commerce and town centre business improvement districts/business consortia. Awareness-raising and engagement is in tandem with other Council support programmes, eg, Retail Improvement Scheme, and events and activities such as local Christmas events. Elected member support to engage with business owners would also be welcomed. Page 11 of 56
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Campaign encouraging Renfrewshire residents to use the gift card and spend local. This consumer campaign will involve social media and digital advertising spend in November 2023 and February 2024, and improved visibility and presence of the SLL scheme in participating businesses. A ‘Spend Local’ consumer competition will take place in November 2023 to coincide with Christmas Lights switch-on events. 8.2. The marketing package also seeks to maximise opportunities for Renfrewshire Council to support the programme. This may include aligning discretionary spending programmes with Scotland Loves Local where possible. 8.3. As the programme matures in Renfrewshire, officers will look for additional opportunities to generate activity. For example, press and social media activity for first Scotland Loves Local Week in August 2023 highlighted 20 local businesses backing the ‘spend local’ message – similar activities in 2024 can be used to increase awareness and uptake of the scheme. 9. Progress and Reporting 9.1 If agreed to continue the scheme, progress will be reported to the Board on a rolling basis. ___________________________________________________________________ Implications of the Report 1. Financial – No additional finance is sought. All funding is accounted for within existing Council budgets. 2. HR & Organisational Development – None. 3. Community/Council Planning – Jobs and the Economy - the scheme has the potential to secure additional income for Renfrewshire based businesses, which in turn could support more investment and jobs within the local economy. 4. Legal – None. 5. Property/Assets – None. 6. Information Technology - None. 7. Equality & Human Rights (a) The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report. 8. Health & Safety – None. 9. Procurement – None. Page 12 of 56
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10. Risk – None. 11. Privacy Impact – None. 12. COSLA Policy Position – Not applicable. 13. Climate Risk – Not applicable. _________________________________________________________ List of Background Papers None. Author: Euan Shearer, Regeneration and Place Manager Email: euan.shearer@renfrewshire.gov.uk Page 13 of 56
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Appendix A – Renfrewshire Retailers. Total ‐ 137 Renfrewshire Retailers ‐ 12/10/2023 Merchant Name Merchant Address Adom Afro Paisley 46 High Street Paisley Aldi 009 ‐ Paisley 4 Fulbar Rd, Paisley PA2 9AP, UK Aldi 012 ‐ Erskine 1A, Bridgewater Shopping Centre, Erskine PA8 7AA, UK Aldi 055 ‐ Renfrew 41 High St, Renfrew PA4 8QP, UK Aldi 085 ‐ Johnstone Patons Mill Rp, High St, Johnstone PA5 8FB, UK Argos A4155 Paisley Linwood Unit D, The Phoenix Retail Park, Linwood Road Paisley PA1 2AB Aspire Academy 17 Kelvin Avenue Hillington Industrial Estate Glasgow G52 4LT Bailey’s Antiques 34 High Street Paisley Barrhead Travel service ‐ Braehead Shopping Centre Unit 1, Intu Braehead Shopping Centre, King's Inch Road, Glasgow G51 4BN Baru Paisley 7B Moss Street Paisley Bears by Sue Quinn Threadbear, 25 Lawn Street, Paisley PA1 1HD Bella by Bella Beauty 26 Glasgow Rd, Paisley PA1 3QH Bianco e Nero 27 Gauze Street Paisley Brew 3 County Sq, Paisley PA1 1BN, UK Brick Lane Studios/The Diane Mitchell Music School/Brick lane Studios Brick Lane Studios 7‐9 Weir Street Paisley Renfrewshire Pa34dw Cafe Fairfull 12A High Street Paisley Cafe Su Cafe Su Unit4 InShops ThePaisley Cemtre 23 High St PA1 2AF Caleb Outlet 14B New St, Paisley PA1 1XY, UK CANCER RESEARCH UK GBR ‐ Greenock 32 W Blackhall St, Greenock PA15 1UE, UK CANCER RESEARCH UK GBR ‐ Johnstone Units 1&2, 40‐41 Houston Court, Johnstone, PA5 8DL CANCER RESEARCH UK GBR ‐ Paisley 43 Causeyside Street, Paisley, Renfrewshire, PA1 1YL Cardbox Cardbox15 5 Hairst Street Renfrew Renfrewshire PA4 8QU Castelvecchi 10 New Street Paisley Caulders Garden Centres Erskine Caulders Erskine Erskine Bridge Bishopton Erskine PA7 5PU Claire Reid Hairdressing 7 Mill Street Paisley Comicrazy 45 Old Sneddon Street Paisley Coop 4247 Paisley Road ‐ Renfrew 93 Paisley Road, , Renfrew, PA4 8LH Coop 5825 Kilbarchan 20 High Barholm, Kilbarchan, Johnstone, PA10 2EQ Page 14 of 56
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Renfrewshire Retailers ‐ 12/10/2023 Merchant Name Merchant Address Coop 7472 Houston 63 Crosslee Crescent, Houston, Johnstone, PA6 7DT Coop 8769 Bishopton New 26‐30 Greenock Road, , Bishopton, PA7 5JN Coop 9093 Paisley ‐ Neilston Road 60‐62 Neilston Road, , Paisley, PA2 6NE Coop 9094 Bridge Of Weir Main Street, , Bridge Of Weir, PA11 3NR Coverstitch The Paisley Centre, 23 High Street, Paisley Domino's Pizza ‐ Bridgewater Shopping Centre Erskine Domino's Pizza Unit 9 Bridgewater Shopping Centre Erskine Scotland PA8 7AA Domino's Pizza ‐ Gauze Street Paisley Domino's Pizza 41 Gauze Street Paisley Scotland PA1 1 1EX Domino's Pizza ‐ Johnstone 11 Laighcartside Street Johnstone PA5 8BY Domino's Pizza ‐ Renfrew 9 High Street Renfrew PA4 8QL Ecigarette Outlet 35 Causeyside Street Paisley Elixir Lounge Upper Floor, 12 New Street, Paisley Ellen Adams Hair 24 Glasgow Road Paisley Exotic kitchen paisley 23 Causeyside Street Paisley Scotland PA1 1UH FARMFOODS HILLINGTON 249 UNIT 1 EARL HAIG ROAD, HILLINGTON RETAIL PARK G52 4LY FARMFOODS PAISLEY 255 29 CAUSEYSIDE STREET PA1 1UL FARMFOODS RENFREW 250 5/6 HIGH STREET PA4 8QL Finishing Touches 7 Johnston Street Paisley Food 46 46 High St, Paisley PA1 2AH Food At Underwood Unit 1A 35 Underwood Road Paisley Paisley PA3 1TQ Francis hair salon 3 Johnston Street Paisley Frangelinos Family Fish & Chip Shop 26 High Street Paisley Gael Home Interiors 4 Orchard Street Paisley Gantry 12 New St, Paisley, PA1 1XY Gillan Green Grocers The Paisley Centre, 23 High Street, Paisley H. Samuel ‐ Braehead 38, Braehead Shopping Centre, Glasgow G51 4BP, HandCrafted Coffee 5 High Street Lochwinnoch PA12 4DB Harvies Tobacconist 20 Moss St, Paisley PA1 1BL, UK Hiltons Hair & Beauty 8A St Mirren St, Paisley PA1 1UA, UK HMV/Sunrise Records and Entertainment Limited trading as HMV UNIT 167, BRAEHEAD CENTRE, KINGS INCH ROAD, GLASGOW, G51 4BN HOT Tanning Salon ‐ 25199664 1470 Paisley Road West Glasgow G521sr Houston Kiltmakers 67 High Street Paisley Iceland 782‐Paisley 86/74 Glasgow Road, Paisley, Strathclyde PA1 3PN ICELAND JOHNSTONE 1 Houston Square, 56/61 High St Johnstone, Paisley PA5 8QG ICELAND PAISLEY PIAZZA 1330 Unit 55, Piazza Shopping Centre, Paisley PA1 1EH InCube Shop 9b Gilmour Street Page 15 of 56
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Renfrewshire Retailers ‐ 12/10/2023 Merchant Name Merchant Address Indian By Nature Paisley/Obsession of India 32 Moss Street Paisley IVAD Gifts 29 Gauze Street Paisley Jewelfare 44 High Street Paisley Johnstone Convenience Store 19 high street Johnstone Glasgow UK PA58JU Kenneth Edward Hair Salon 45 Causeyside Street, Paisley PA1 1YN Kiddie Boutique /Baby boutique by Claire Unit 106 Braehead Shopping centre Kings inch road Glasgow Glasgow G51 4bs Kilts 4 u 2 Erskine Square Hillington Glasgow Glasgow G52 4BJ Kooks Hairdressing 22 New Street Paisley Lidl GB JOHNSTONE 1270 10 High Street, Johnstone PA5 8JX Lidl GB PAISLEY NORTH 1725 Renfrew Road Retail Park, Wallneuk Road, Paisley PA3 4BF Marks and Spencer ‐ Odstock Road ‐ Paisley Odstock Road, Paisley PA3 2ST, UK Marks and Spencer Foodhall ‐ Renfrew Retail Park ‐ Paisley Unit 1, Renfrew Retail Park, Wallneuk Rd, Paisley PA3 4BF, UK Marks and Spencer Simply Food ‐ Braehead Shopping Centre King's Inch Road Braehead Shopping Centre, Ripley, By‐Pass, Glasgow G51 4BP, UK Marks and Spencer Simply Food ‐ Glasgow Airport Glasgow Airport Priority Security, Glasgow Airport, Paisley PA3 2SW, UK McLaughlan and Co Jewellers 22 New Street Paisley Menace Continental Children's Wear 56B Causeyside Street Paisley Moongemz Baby & Gifts 30b High Street Paisley Renfrewshire PA1 2BZ Morrisons Bed Centre 24 Lawn Street Paisley Mrs Party Ltd 5 Johnston Street Paisley Musclebound 14A New Street Paisley New Look 1657 Paisley 14 The Piazza Shopping Centre, Paisley , PA1 1EL New Look 2019 Braehead 1B Braehead Shopping Centre, Renfrewshire, G51 4BP Noah Home and Gifts Ltd Braehead Shopping Centre Kings Inch Road Glasgow G51 4BN Nomads Coffee Shop 63 High Street Paisley. O'Neills Services Unit 43B The Piazza Centre, Paisley One O One 32 Kilbarchan Road 32 Kilbarchan Rd, Johnstone PA5 8RF Orchard Clinic Orchard Clinic 16 Orchard Street Paisley Renfrewshire PA1 1UZ Paisley Photoshop 10 Silk Street Paisley Paisley Picture Framers 56 Causeyside Street Paisley Trophy Centre 5 George Place Paisley Print and Copy It 61 High Street Paisley Print Centre (GREENLAW GRAPHICS LTD) 31 Gauze Street Paisley Page 16 of 56
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Renfrewshire Retailers ‐ 12/10/2023 Merchant Name Merchant Address PROFIX 67 Causeyside Street PROFIX Paisey Renfrewshire PA1 1YT Pure Spa and Beauty‐ Renfrew Pure Spa and Beauty David Lloyds Arkleston Road Renfrew Renfrewshire PA4 0RA Rainbow Turtle 7 Gauze Street Paisley Remode 43b High Street Paisley Riverside Beauty Crowne Plaza, Congress Road Glasgow Renfrewshire G3 8QT RSA Your Local Shop 27 Moss Street Paisley Sainsburys ‐ Kings Inch Road 110 Kings Inch Dr, Glasgow G51 4BT, UK SEMI CHEM 003319 ‐ Johnstone Unit 1, 9 William Street, Johnstone SEMI CHEM 3479 ‐ Paisley 44‐46 Central Way Piazza SEMI CHEM 003517 ‐ Renfrew 93 Paisley Road Sinclair's of Paisley 30A High Street Paisley Smyths Toys Unit 22 Phoenix retail park Linwood Linwood road Glasgow Paisley PA12AB Snappy Shopper ‐ Online Only Spar ‐ Erskine Bargarran Shopping Centre, Erskine PA8 6BS Spar ‐ Lochwinnoch The Cross, Main St, Lochwinnoch PA12 4AH Spar Glenburn spar 170 BREAHEAD ROAD Paisley Renfrewshire PA2 8QD Specsavers ‐ Braehead 110 Kings Inch Drive, Glasgow, G51 4BT Spoons Coffee House Spoons Coffee House 71 Causeyside Street Paisley Renfrewshire PA1 1YT St Vincent's Hospice 11a Moss Street, Paisley, PA1 1BE Subway ‐ Paisley Subway 20 High street Paisley Renfrewshire PA12BS Summits outdoor 36 moss street paisley PA1 1BA Sunset Beach ‐ Hairst Street 59 Hairst Street Renfrew PA4 8QU Sunshine Electrical 3 Johnston Street Paisley Taste Buds 22A Lawn Street Paisley The Bankhouse 7 Gilmour Street Paisley The Grumpy Monkey Coffee House 22 Moss Street Paisley The Keg 15B Gilmour Street Paisley The Lane Paisley 7 Shuttle Street Paisley The Perfume Shop 66 Kings Inch Road Perfume Shop , Unit 160 Braehead Shopping Centre , Kings Inch Road G51 4BS The Ugly Duck 38 High Street Paisley Tom Baird Opticians 5 High Street Paisley Paisley Renfrewshire PA1 2AE Tresspass ‐ Braehead UNIT 103 BRAEHEAD SHOPPING CENTRE KINGS INCH ROAD G51 4BN What IF Paisley 25 Moss Street Paisley Page 17 of 56
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Renfrewshire Retailers ‐ 12/10/2023 Merchant Name Merchant Address Wholesale Domestic Bathrooms 50 Montrose Avenue Hillington Park Renfrewshire g52 4LA Wholesale Domestic Equipment company 400‐406 Hillington Road, Hillington Estate, G52 4BL With Love Flowers 48 Causeyside St, Paisley PA1 1YH, UK WM Morrisons Ltd ‐ Erskine Bridgewater SC GBR Bridgewater Shopping Centre, Renfrew PA8 7AA WM Morrisons Ltd ‐ Johnstone GBR 30 Napier Street, Johnstone PA5 8SF WM Morrisons Ltd ‐ Paisley Anchor Mills GBR Anchor Mill, Paisley PA1 1GZ WM Morrisons Ltd ‐ Paisley Falside Rd GBR Falside Road, Paisley PA2 6JE Yellow Slate Design 8 Browns Lane Paisley Zambretto Italian 42‐46 Old Sneddon St, Paisley Page 18 of 56
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___________________________________________________________________ To: Economy and Regeneration Policy Board On: 7 November 2023 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Retail Improvement Scheme – Update and Next Steps ___________________________________________________________________ 1. Summary 1.1 This report provides a summary of the Retail Improvement Scheme’s (RIS) position since the last update to Leadership board in April 2022. ___________________________________________________________________ 2. Recommendations 2.1 It is recommended that the Board: (i) Note the contents of this report. (ii) Authorises the Head of Economy and Development to explore potential funding options for future rounds of the scheme. 3. Background 3.1 The RIS has run annually since 2012 and supports Renfrewshire based businesses to undertake external property improvements such as the creation of new shopfront fascia signs and shutters. 3.2 Grants are made available for up to 70% of qualifying works to a current maximum of £12,000. In exceptional circumstances, larger awards have been offered to support projects which would likely result in significant regeneration outcomes e.g., high value conservation shopfronts in prominent areas. 3.3 Since its inception, the RIS has been an important aspect of the Council’s agenda for improving its town centres and building positive relationships with the local business community. 3.4 Since 2016, approximately £690k has been awarded to 97 different projects across Renfrewshire. Some of the notable projects supported by the RIS are included in Appendix A. Item 3 EAR071123 Page 19 of 56
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3.5 Variations of the RIS are run by Local Authorities across the country and form part of the Council’s interconnected series of grants and assistance available to Renfrewshire’s businesses. The RIS could also be used as a tool by the recently formed Town Centre Task Force to enhance the quality of Renfrewshire’s town centres and potentially reduce vacancies. 3.6 A spotlight report has been included in Appendix A, which provides a more detailed review of the scheme between 2021 and 2024. 4. Current Retail Improvement Scheme 2023/24 4.1 Initially no funds were allocated for the Retail Improvement Scheme in 2023/24. However, in recognising the importance of the RIS in supporting local businesses and making town centres more attractive and vibrant places, officers launched a further round (using underspend from preceding years) in August 2023. 4.2 19 applications were received from businesses located in Houston, Elderslie, Bishopton, Bridge of Weir, Paisley, Johnstone, Renfrew and Lochwinnoch. 4.3 Several of these applications were from notable town and village centre properties which are currently vacant; including, 31 & 24 Causeyside Street, 50 High Street in Paisley & the former Farmers Market situated at 17-19 High Street Lochwinnoch. This highlights how the RIS can be used strategically to reduce the number of commercial vacancies across Renfrewshire. 4.4 Interest this year was high and exceeded the original budget of £70k. As the applications were to a high standard and had both a wide geographical spread and would assist in bringing vacant units into active use, the decision was taken to allocate an additional £30k from the 22/23 Place-Based Investment Programme (PBIP) budget to meet the funding gap for the current scheme. Projects are underway and set to be completed by spring 2024. 5. Next steps 5.1 Officers will now consider how to fund future rounds of the RIS. There is potential to use further funding from the PBIP (as was done previously in 2021/22). Officer will also explore whether there are any other external funding options available. 5.2 If funding can be secured for future rounds of the scheme, progress will be reported to the Board on a rolling basis. ___________________________________________________________________ Implications of the Report 1. Financial – None. 2. HR & Organisational Development – None. Page 20 of 56
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3. Community/Council Planning Our Renfrewshire is thriving – regeneration projects result in a stimulus to the local economy via contracts won, visitors and user numbers. The RIS supports objectives to develop Renfrewshire’s economy, including its Town Centres as thriving places, supporting local places, businesses, and communities. Reshaping our place, our economy, and our future - The projects secure the productive re-use of a buildings and provide new facilities and services which will contribute to supporting growth. Increased footfall offers potential benefits to traders, assisting the economy of our town centres. Working together to improve outcomes - Renfrewshire Council is working with businesses and owners and providing support to maximise the opportunities for regeneration in Renfrewshire’s settlements. 4. Legal – None. 5. Property/Assets – None. 6. Information Technology – None. 7. Equality & Human Rights (a) The recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report. 8. Health & Safety – None. 9. Procurement – None. 10. Risk – None. 11. Privacy Impact - None. 12. COSLA Policy Position – Not Applicable. 13. Climate Risk – Not Applicable _________________________________________________________ List of Background Papers a) Report to Leadership Board, 20th April 2022, Spotlight Report on the Retail Improvement Scheme – 2016 to 2022 b) Report to Leadership Board, 15th September 2021 - Place Based Investment Fund 2021/22 Page 21 of 56
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c) Report to Leadership Board, 20 June 2018 – Invest in Renfrewshire Future Funding and Services d) Report to Economy and Jobs Policy Board, 25th May 2016 – Invest in Renfrewshire: Retail Improvement Scheme Update ___________________________________________________________________ Author: Euan Shearer, Regeneration and Place Manager. Euan.shearer@renfrewshire.gov.uk Page 22 of 56
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1 Spotlight on… Retail Improvement Scheme 2021 - 2024 Page 23 of 56
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2 RIS Overview The Retail Improvement Scheme (RIS) supports owners and occupiers of small business properties in retail areas throughout Renfrewshire with grant assistance towards the cost of shopfront improvements. Since its launch (circa 2012), the RIS has helped approximately 200 businesses improve their commercial shop frontages and has contributed to a number of vacant units being returned to beneficial use. Outcomes of the scheme have supported the economic viability of our town, local and village centres, supporting their role at the heart of communities and the principle of the ‘20-minute neighbourhood’. The scheme has also supported a range of local businesses and contractors, generating wider economic benefits across Renfrewshire. Applications have achieved a wide geographical coverage and vary in both type size and scale, from ‘conservation standard’ shop front enhancements to simple gable repairs and replacement of solid roller shutters. This report sets out the performance of the RIS over the last 3 years; including the current 2023/24 round. Page 24 of 56
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3 Key Statistics 2021 - 2023/4 Number and spend A total of 52 awards applications were made between the 2021/22 – 2023/24 period, including 19 in the current round. This represents some £280,000 of grant funding supporting local businesses across Renfrewshire. 15+6+18+8+20+1 15 6 2 2023 2024 2022 2023 2021 2022 £ 99,460.00 £ 95,000.00 (Indicative) Successful / Total Spend Year of Application Unsuccessful / Withdrawn 18 7 £ 87,617.00 19 Page 25 of 56
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4 Awards by area The majority of successful applications received were from businesses based in Paisley (25), reflecting the role of the town as the strategic centre for Renfrewshire. 8 9 25 Lochwinnoch £ 5,810 3 Erskine £ 1,760 1 Bridge of Weir £ 9,416 3 Elderslie £ 12,000 1 Bishopton £ 9,400 1 Paisley £ 158,726 Johnstone £ 34,765 Renfrew £ 46,500 1 Houston £ 2,600 Page 26 of 56
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5 Number of vacant premises brought into use In the three-year period, 13 business premises were vacant at the time of their RIS application. Following approval and subsequent work undertaken on frontages, 5 premises have been returned to beneficial use and are trading whilst 3 are now either completing internal works or advertised for lease. The remaining 5 vacant businesses are included in the current 2023/24 round. These businesses have received grant awards but are yet to undertake works. It is anticipated that following completion, these premises will become occupied. Applications by use The vast majority (66%) of applicants were retailers followed by cafes, restaurants and drinking establishments (21%) , professional services (9%) and other (4%). 66+21+9+4+K Retailers 66% Hospitality 21% Services 9% Other 4% +5 Page 27 of 56
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6 Current RIS round (2023/24) RIS 2023/24 was launched in August 2023 operating with a total budget of £70k allocated from RIS funds previously unspent. Due to the quality and number of applications, a further £30k was allocated from the Place Based Investment Programme (PBIP). Following the close of the grant deadline, a total of 19 applications were received with all applications receiving grant awards. Final consents, checks and paperwork are currently in process, with projects anticipated to be complete by spring/summer 2024. Page 28 of 56
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7 2021 2022 Renfrew Longstanding Renfrew interiors shop. Works included new signage, new shop front and replacement of existing roller shutters. 2022 2023 Johnstone Uplifted grant provided due to quality of proposal and prominence of unit for this new Johnstone Salon. Works included new fascia, repairs to stonework, improved entrance and windows. Before After AfterBefore Page 29 of 56
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8 Proposed elevation South Scale 1:50Proposed elevation South Scale 1:50 2023 2024 Paisley Uplifted grant provided due to a conservation standard proposal and restoration of a James Maitland designed listed building. Works include a complete shopfront including new timber windows and restoration of stained glass. 2023 2024 Paisley Support in the form of new signage provided to a new independent beauty business in the heart of Paisley Town Centre. Unit was previously vacant. Applicant relocated to Scotland due to the ongoing crisis in the Ukraine Before After Before After Page 30 of 56
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9 Development of RIS A review of the RIS format, guidelines and criteria was undertaken ahead of the 2022/23 RIS to allow greater flexibility in number of rounds in any given RIS year and the development of an online portal to simplify the application process for applicants and assessing officers. Upon completion of this year’s RIS, officers will review whether there is scope for further improvements to the scheme including: Whether the current guidelines accurately explain eligibility and what the scheme intends to achieve. How we can better market the scheme across Renfrewshire and whether there is merit in actively encouraging applications from selected buildings in our town centres. Whether there is merit in having two pots; one focussed on smaller scale improvements (open at specific times during the year and another year-round pot dealing specifically with assisting longer term vacant buildings). Page 31 of 56
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___________________________________________________________________ To: Economy and Regeneration Policy Board On: 7 November 2023 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Shared Prosperity Funding: Business Challenge Fund ___________________________________________________________________ 1. Summary 1.1 Renfrewshire Council was awarded £6.29M from the Shared Prosperity Fund under the current 2022-25 programme period. The funding is split across three core programme themes and the “Multiply” numeracy skills programme. 1.2 This report updates Board on the proposed development of a Business Challenge Fund under the Local Business theme for the 2024 and 2025 programme period. 1.3 The Business Challenge Fund would augment the already successful Employability Grant Programme, also being used for the Multiply Programme, to provide key services within the local area. 2. Recommendations 2.1 It is recommended that the Board: Note the contents of the report; Agree to the proposed Business Challenge Fund to be launched this year with £0.5M SPF funding to be delivered through extending and augmenting the existing Employability Grant Programme being delivered through the Local Employability Partnership; Note that regular updates will be provided to the board on the implementation of the Challenge Fund and all projects supported through the Shared Prosperity Fund. Item 4 EAR071123 Page 33 of 56
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___________________________________________________________________ 3. Background 3.1 The Shared Prosperity Fund (SPF) is part of the Levelling Up programme to replace EU financial support across the UK. There are three SPF investment priorities: • Communities and Place; • Supporting Local Business; • People and Skills. Additionally the Multiply Programme (aimed at numeracy skills) sits as a separate, but linked, element of the SPF programme. 3.2 Three years of funding were announced for the 2022-25 period and Renfrewshire Council were awarded £6,290,987 in total for the area. The programme was phased to increase financially over the 3 years with 12% of the core budget in year 1, 24% in year 2 and the remainder in year 3. 3.3 This report builds on previous overviews to Board on the progress and plans for the SPF programme in Renfrewshire and focuses on the Local Business theme and the proposal to establish a Challenge Fund for the delivery of additional business support and services. 3.4 The Challenge fund would be delivered through extending the existing employability grant programme which was approved at Leadership Board “Co- Commissioning of Employability Services” in September 2021. 4. SPF Local Business Theme 2022-25 4.1 The main objectives of the Supporting Local Business intervention are: • Creating jobs and boosting community cohesion, through investments that build on existing industries and institutions, and range from support for starting businesses to visible improvements to local retail, hospitality and leisure sector facilities. • Promoting networking and collaboration, through interventions that bring together businesses and partners within and across sectors to share knowledge, expertise and resources, and stimulate innovation and growth. • Increasing private sector investment in growth-enhancing activities, through targeted support for small and medium-sized businesses to undertake new- to-firm innovation, adopt productivity-enhancing, energy efficient and low carbon technologies and techniques, and start or grow their exports. Page 34 of 56
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4.2 The funding breakdown for the Local Business Intervention is outlined below. Local Business Proposed 31.00% LA 22/23 23/24 24/25 3 year total TOTAL £ 187,971.60 £ 375,943.20 £ 984,971.48 £ 1,548,886.28 4.3 Within the funding proposal was the intention to provide a Challenge Fund of around £0.5M to allow other business support partners in the area to bid for resources to support local businesses and to meet the wider objectives of the SPF programme. The funding is primarily available in year 3 of the programme where the allocation is considerably higher. It is proposed to launch a challenge fund to commence projects in the Jan – March period to allow them to be ready to claim within the final year of the programme. 5. Business Challenge Fund 5.1 The Challenge Fund would operate under the same governance and structure as the challenge funds for Employability and the Multiply Programme. 5.2 The Local Employability Partnership provides the oversight and support to the current grant programmes and have agreed to the inclusion of a third programme for the Local Business theme. 5.3 The Renfrewshire Local Employability Partnership will publish a grant framework for applications. The framework will identify the specific target groups and priority areas, the types of provision required, the types of outcomes and impacts being aimed for, and any special requirements of the funding sources being used to finance the process. The framework will allow providers to come forward with their own ideas and suggestions for new services and provisions while addressing areas of need or gaps in provision. 5.4 The Business Challenge Fund will: Augment the current business support services in Renfrewshire by outlining clear aims and guiding principles to bidding organisations for new services. Create a level playing field with equal opportunity for all eligible organisations. Add value to the funding and other resources already available. Provide an application and assessment process for the allocation of funds. Support the aims and objectives outlined in the Renfrewshire Economic Strategy, the Renfrewshire Economic Recovery Plan, and Shared Prosperity Fund prospectus. 5.5 The benefits of a grant programme would be: An open and transparent approach which offers local providers the opportunity to get involved. The opportunity to develop and nurture small local partners (private sector and third sector) to become more involved and also to support larger and/or national organisations to work across Renfrewshire. The opportunity to support innovation, pilots, new ideas and approaches. Page 35 of 56
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A partnership with providers where we genuinely work together to improve lives and opportunities in Renfrewshire. 5.6 An Assessment Panel of LEP members and Council Officers will manage the assessment and scoring procedures following the Council’s grant processes. 5.7 Each application will be scored by at least two separate individuals from the Assessment Panel who then meet to agree a moderated score with comments. The moderated score will then be presented to the full Assessment Panel for further comments on strategic fit and moderation if required. 5.8 Membership of the Assessment Panel will be drawn from strategic partner organisations represented on the LEP including: DWP West College Scotland Skills Development Scotland Renfrewshire Chamber of Commerce NHSGGC Engage Renfrewshire DYW West Various Council Departments 5.9 Key stakeholders and potential bidders have been consulted on this approach. Future opportunities will be provided for stakeholders to seek clarity on a number of matters in advance of the formal application and assessment process. 5.10 The Business Challenge Fund is anticipated to be primarily a revenue funding programme however capital funding is also an option if required. A single funding call will take place during November 2023 with assessment of applications and decisions made in December for a project start during 2024 and final expenditure no later than 31st March 2025 in line with SPF requirements. 5.11 Applicants to the fund are likely to be from organisations previously in receipt of European Regional Development Fund (ERDF) support and who provide services to local businesses. 5.12 Regular updates will be provided to the board on the implementation of the challenge funding and all projects supported through the Shared Prosperity Fund. _________________________________________________________________ Implications of the Report 1. Financial – No additional finance is sought. Funding of £0.5M has been allocated from the SPF for this area of work. 2. HR & Organisational Development – None. Page 36 of 56
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3. Community/Council Planning – Partnership working is essential to the success of this initiative. The Renfrewshire LEP have been significantly involved in the planning for the new challenge fund. 4. Legal – None. 5. Property/Assets – None. 6. Information Technology – None. 7. Equality & Human Rights (a) The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report. 8. Health & Safety – None. 9. Procurement – None. 10. Risk – None. 11. Privacy Impact - None. 12. COSLA Policy Position – Not Applicable. 13. Climate Risk – Not Applicable. ___________________________________________________________________ List of Background Papers Leadership Board,15 September 2021 “Co-Commissioning of Employability Services” Economy and Regeneration Policy Board, 23rd August 2022, “UK Shared Prosperity Fund Update” Economy and Regeneration Policy Board, 23rd May 2023, “UK Shared Prosperity Fund – Year 1 Report” ___________________________________________________________________ Author: Ruth Cooper, Economic Development Manager; Email: ruth.cooper@renfrewshire.gov.uk Page 37 of 56
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___________________________________________________________________ To: Economy and Regeneration Policy Board On: 7 November 2023 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Town Centre Vacancy Taskforce – Vacant Shops Grant Scheme ___________________________________________________________________ 1. Summary 1.1 The purpose of this report is to inform the Economy and Regeneration Board of progress made by the Town Centre Vacancy Taskforce in respect of developing a proposed Vacant Shops Grant Scheme which will support the Councils ambition of reducing the number of commercial vacancies within its town centres. 1.2 The report also provides an update on other relevant matters set out in the Town Centre Vacancy Taskforce’s remit. ___________________________________________________________________ 2. Recommendations 2.1 It is recommended that the Board: (I) Notes the content of this report. (II) Approves the creation of a Vacant Shops Grant Scheme, utilising existing identified budget for the Town Centre Vacancy Taskforce. _________________________________________________________ 3. Background 3.1 At the Economy and Regeneration Board on the 24th of January 2023, an amendment was approved, which asked that: “A Town Centre Vacancy Taskforce, consisting of relevant officers, be formed with a specific remit to examine barriers to occupancy and letting, bringing forward potential policy changes that assist in removing barriers, promoting vacancies which were market ready and identifying action for those which are not”. Item 5 EAR071123 Page 39 of 56
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3.2 Board then agreed a report in March 2023 seeking to set aside £250,000 from the Local Authority Covid Economic Recovery Fund to invest in vacant town centre property across Renfrewshire. 3.3 The remit for the Town Centre Vacancy Task force was confirmed at the Economy and Regeneration Board of 23 May 2023 where it was agreed that the focus of activities would be: On Town Centres as defined by the adopted 2021 Renfrewshire Local Development Plan. Limited to ground floor commercial premises which are not within established shopping centres, such as the Piazza, Paisley Centre or Braehead. Focussed on Paisley, Johnstone, and Renfrew due to the lack of appropriate vacancies within the other centres. 4. Objectives of the Task Force 4.1. The following objectives were approved and will act as guiding principles for the Task Force’s activities: Agree the principal challenges facing Renfrewshire town centres in 2023, noting that this will almost certainly differ between centres. Identify barriers to occupancy/letting of current vacant ground floor commercial units. Produce a strategy for the promotion of occupiable units. Produce an action plan for those vacancies which are not market ready. Establish “task and finish” bespoke groups for each of the six centres, reporting to a steering group of Senior Officers. 5. Meeting the objectives 5.1 Officers have considered how best to meet these objectives, noting that town centre regeneration is a complex policy area which often requires cross-council and cross-government agency intervention. The proposed Vacant Shops Grant Scheme will be the first in a series of interventions and improvements which will try to ensure that Renfrewshire’s town centres are at the heart of sustainable and inclusive growth, which delivers for residents, visitors, and local businesses. 5.2 We envision that the next steps of the Task Force’s activities will focus on: Considering measures within the Council’s powers to address long-term vacant and derelict buildings in Renfrewshire’s town centres. This will include a review of interventions that have been implemented elsewhere and learning from best practice. Officers are also looking into options to host an event(s), which brings together stakeholders to discuss the key challenges facing town centres in the future. Page 40 of 56
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Building relationships with local property owners across Renfrewshire to understand how we can use the Vacant Shops Grant Scheme as a starting point to improve the Council’s understanding around the causes of vacancies and ensure that we have established relationships with key stakeholders. To facilitate this, Officers will host a meeting of landlords by the end of 2023 which the above issues will be discussed in detail. Members will be updated on our plans around this as they are developed to ensure that they can share this with relevant stakeholders in their wards. Officers will assess the feasibility of using the information gathered around town centres to support the Council’s development of future policy interventions. Primarily, this will be focussed around improving the information gathered about Town Centre vacancies to ensure that ownership is known and that this information is readily available to prospective and established Renfrewshire businesses. 5.3. Progress on the delivery of the objectives will be reported to the Board on a rolling basis. 6. Vacant Shops Grant Scheme 6.1 The core objectives of the Vacant Shops Grant Scheme are to: Reduce the number of market-ready commercial units which lie vacant in the identified town centres by supporting businesses wishing to occupy them. Encourage increased diversity in Renfrewshire’s town centres by supporting businesses which provide a unique or underrepresented function. Build positive relationships with local businesses and property owners to support the wider town centre agenda whilst creating places which attract both residents and visitors. Support the Renfrewshire Economic Strategy by supporting new business start-ups, creating employment opportunities, and promoting sustainable inclusive economic growth. 6.2 Grant awards from the scheme will offer match funding of 50% up to a maximum £25,000 to support set-up costs or as working capital. 6.3 Applications will be accepted from businesses wishing to establish their first premises in Paisley, Renfrew, or Johnstone town centres. Established local businesses who are currently situated out with the town centre will be considered where a clear business case can be identified, such as a desire to occupy a larger premises due to growth. Ineligible businesses will include large national chains, betting shops, sex shops, pawn brokers, tanning salons, Aesthetics Salons, tobacconists and vape shops. The exclusion list reflects standard practice for business grants adopted by Renfrewshire Council and aligns with the objectives of this grant as set out in 6.1. 6.4 Applications will be subject to a business appraisal which looks at the viability and strength of the business and the impact any grant will have on them with regarding to growing the number of employees, turnover and net zero ambitions. Guidelines for the scheme are set out in Appendix A. Page 41 of 56
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Business advisors will be allocated to support potential applicants through the application process, and they will also advise them of any other relevant funding available to them. 6.5 Final approval decisions and awards up to a maximum of £25,000 will be determined by managers reviewing the appraisals and the conclusions and rational for either rejecting or supporting the applications will be put forward by the assessing business advisor. 7. Identification of Properties 7.1 It is the ambition of officers to work closely with local property owners and agents to promote the scheme, and to encourage sustained investment of key properties in the main thoroughfares of each identified centre. 7.2 The aim is to encourage a joint investment whereby property owners offer a contribution (a rent free period) to meet the match funding offered by both Renfrewshire Council and the supported business. 7.3 Officers have consulted Paisley First and the Federation of Small Businesses, who are both fully supportive of the scheme. There have also been positive discussions with a local landlord who may be willing to offer a reduction in rent for selected properties for a limited time in conjunction with the scheme. 8. UK Government Town Centre Levelling Up funding 8.1 The UK Government recently announced that 55 towns across the UK would share £1.1bn from the Levelling Up Fund. Seven Scottish towns will be given £20m each to regenerate high streets and tackle anti-social behaviour. The money will go to Greenock, Irvine, Kilmarnock, Coatbridge, Clydebank, Dumfries and Elgin. No money has been allocated to any towns within Renfrewshire. Officers will seek further clarification from representatives from the Department for Levelling Up, Housing & Communities on the selection criteria used to allocate the funds and further brief elected members when this clarification is available. 9. Next Steps 9.1 Subject to receiving approval from the Board, officers will formalise the conditions and parameters of the Vacant Shops Grant Scheme and produce the relevant guidance and application pack. 9.2 The scheme will also be supported through a marketing campaign which will promote the scheme via appropriate Council social media channels. It is anticipated that the scheme could be open for applications by December 2023. 9.3 Progress on the scheme will be reported to the Board on a rolling basis along with other updates on the Town Centre Vacancy Taskforce. ___________________________________________________________________ Page 42 of 56
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Implications of the Report 1. Financial - No additional finance is sought. All funding is accounted for within existing Council budgets. 2. HR & Organisational Development – None. 3. Community/Council Planning – None. 4. Legal – Grant Agreements will be required between Renfrewshire Council and successful applications. 5. Property/Assets – None. 6. Information Technology – None. 7. Equality & Human Rights - (a) The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report because for example it is for noting only. 8. Health & Safety - None. 9. Procurement – None. 10. Risk – None. 11. Privacy Impact – None. 12. COSLA Policy Position – Not Applicable. 13. Climate Risk – Not Applicable. Page 43 of 56
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Appendix A Renfrewshire Vacant Town Centre Premises Fund 1. Why is Renfrewshire Council acting? Renfrewshire Councils Economic Strategy sets out the ambition of a thriving local economy grounded in the principles of fair work, sustainable practices, and inclusive economic growth. Central to achieving this ambition is our network of town centres, and the role that they play in ensuring that our local economy remains in good health by providing an attractive destination for visitors, and a dynamic environment for business to set up and operate in. Renfrewshire Council has allocated £250,000 to help drive this forward by stimulating private sector investment in our town centres. This will be done by providing match-funded grants, on a competitive application process, to businesses wishing to occupy current vacant town centre units in Paisley, Renfrew, and Johnstone. 2. Objectives of the fund This fund aligns with our wider town-centre first agenda by: Reducing Vacancies: By encouraging occupancy of key town centre units in the three towns, we aim to help our centres feel fuller, more economically vibrant, and more attractive destinations. Enhancing Quality: The fund seeks to enhance the quality of our town centres as vibrant destinations for both residents and visitors. We will aim to support businesses which can offer something new, or which is currently underrepresented. Building Partnerships: The fund aims to cultivate positive relationships with the business community, local property owners, and Renfrewshire Council. Town Centre regeneration must be a collaborative effort, we will show our willingness by match funding business contributions up to £25,000. Supporting Long-Term Growth: By ensuring the vibrancy of our town centres, the fund supports Renfrewshire's long-term economic aspirations, fostering sustainable and inclusive economic growth. We will ensure that money is spent wisely by ensuring that businesses have a clear plan for growth and have the potential to be in our towns over the long term. Page 44 of 56
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3. Geographical Boundaries Businesses will be eligible to apply for this grant if their intension is to move into a property which meets the following criteria: Is a vacant ground floor commercial premises within Paisley, Johnstone, and Renfrew town centres as defined by the adopted Local Development Plan 2021. Not situated within established shopping centres like Braehead, Piazza, or Paisley Centre. A map of the three town centres as outlined in the Local Development Plan is available at the end of this document. We can provide as part of your initial enquiry an up-to-date list of vacant properties which would be eligible in each of the three centres. 4. Funding Amount and Application Details Renfrewshire Council has committed £250,000 from the Covid-Economic Recovery Fund to support this grant initiative. The grant aims to bring new types of businesses and services into vacant ground floor commercial premises in Paisley, Renfrew, and Johnstone town centres who can boost footfall, diversify the area, and create new jobs with contracted hours. Successful applicants will receive a grant of up to 50% of project costs, up to a maximum of £25,000 towards eligible costs, which can include: Premises improvements Fixtures and fittings Equipment Stock Rental payments Security equipment and installation Business stationery Advertising and marketing costs Planning permission and building regulation fees Insurance premiums The grant cannot be used towards the purchase of vehicles, employee wages or utility bills. Page 45 of 56
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5. Funding Availability Once launched, the Grant will remain open until the funds have been exhausted by successful applications. 6. Am I Eligible? The grant can support either established businesses, or those who have just started up or are about to start up. You are eligible if your business: Is small to medium sized (has less than 250 employees worldwide). Will be operating from a previously vacant ground floor town centre commercial property in Paisley, Renfrew or Johnstone for which the applying organisation will be the sole party named on the lease or rental agreement. Has, or will have, a lease for a minimum of 36 months. Is able to demonstrate how your products and services differ to what is currently available in the area of your new property. Provides a 3 year business plan showing viability of the venture. Has a current lease for another property and you will continue to trade from this property for at least 2 years after you start trading from your new property. Is a full-time business and has a business bank account. Is not in any debt to the council. Has not incurred any project-related expenditure until after a formal decision on the grant application has been received. At the time of submitting the grant application, the business is neither in bankruptcy, liquidation or similar. Is not a community group, voluntary or charitable organisation. 7. Excluded Sectors This Grant will support any suitable use in our town centres, including Retail, Small Offices and Creative enterprises which have sound business proposals, excluding the following: Multi-level marketing/pyramid selling. Organisations subject to a franchise agreement that gives control over the business decisions to a franchisor. Betting shops. Page 46 of 56
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Pawnbrokers. Beauty industry businesses (nail bars, aesthetics, hairdressers). Amusement or gaming arcades. Tobacconists/Vape shops. Most fast-food and dessert outlets. Shops primarily offering adult or sexual content. Businesses or activities for political or religious purposes. 8. Special Grant Conditions The project must not commence before approval is given as the grant cannot be awarded retrospectively. Approved expenditure payments must be made through the business bank account and supported by supplier invoices. The grant is disbursed after payments are completed. Cash payments do not meet audit trail requirements and are ineligible for the grant. This grant is discretionary, and Renfrewshire Council reserves the right to decline applications not aligning with its objectives. Decisions are final and not subject to appeal. This grant is intended to support the viability of your organisation in starting to trade from a new property and a three-year business plan is required alongside your application. It is not intended to be the main source of funding for your new venture. 9. How to Apply Interested businesses should contact Renfrewshire Council’s Business Development Team in the first instance to ensure that they meet the relevant criteria. Eligible businesses will then be invited to complete an application form accompanied by recent annual accounts (if applicable), an updated business plan, at least two years' financial forecasts (profit and loss, balance sheet, cash flow forecast), and quotes for intended expenses. Upon receipt of an application a Council officer will contact the applicant to arrange a meeting to appraise the application. A decision will be made shortly after this meeting and, if successful, a formal offer of grant will be made. Page 47 of 56
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___________________________________________________________________ To: Economy and Regeneration Policy Board On: 7 November 2023 ___________________________________________________________________ Report by: Chief Executive ___________________________________________________________________ Heading: Paisley Centre redevelopment - update ___________________________________________________________________ 1. Summary 1.1 The purpose of this report is to provide an update on the proposed redevelopment of the Paisley Shopping Centre since grant of planning permission in principle in March 2022. The report highlights aspects such as deliverability, cost and funding of the proposals and overall commercial viability challenges that have been assessed to deliver the scheme. 1.2 The currently proposed development by Beyond Retail is not considered viable for 100% private sector funding, therefore the suggested approach is for a detailed business case to be prepared by the shopping centre owner which would highlight any potential role for the public sector in supporting a viable proposal. ___________________________________________________________________ 2. Recommendations 2.1 It is recommended that the Board: i. Notes the content of this report; ii. Agrees that the Council will continue to work in conjunction with Beyond Retail to further develop a full business case for the proposed redevelopment of the Paisley Centre site; iii. Notes that regular update reports will be brought back to board as the business case is progressed.; and iv. Notes that in due course Beyond Retail’s business case will be brought to board for consideration; _________________________________________________________ Item 6 EAR071123 Page 49 of 56
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3. Background 3.1 The Paisley Centre was opened in 1992 and became the second principal shopping mall in Paisley Town Centre, after the Piazza Centre at Gauze Street. Like all shopping malls it has gone through periods of transition as shopping habits and formats have changed. In recent years as footfall has moved away from town centre to other locations and to online purchasing, the Centre has seen significantly reduced demand for its available units. 3.2 Currently the Centre runs with approximately 50% vacancy, with the former Co- op Department Store occupied on a temporary basis by both Outspoken Arts (Big Art Show) and PACE Youth Theatre. 3.3 In 2020, Beyond Retail purchased the shopping centre with the purpose of exploring repurposing and redevelopment options. They engaged early with Council officers in pre-application discussions which led to the submission of a “masterplan application” in November 2021. This application for a mixed-use redevelopment, including residential, hotel, health centre, offices, retail and leisure was approved by the Council’s Planning Board in March 2022. 4. What has happened since March 2022 4.1. Over the last 18 months Beyond Retail have further developed their plans and involved the Council in various discussions about how the proposal (both collectively and for the various individual elements) may be funded. Both parties agree that a comprehensive approach to the redevelopment of the space will result in more positive outcomes for the town centre than that delivered via an incremental approach which looked at parts of the site in isolation. 4.2 During discussions and following supplementary research undertaken by both the Council and Beyond Retail, it has become clear that the proposals suffer from “market failure” and would not support a viable commercially led development approach. This is not an uncommon challenge in town centre contexts where the costs of delivering the development proposed is significantly higher than the commercial value that would be placed on the resulting product rendering the development proposal commercially unviable to deliver. This presents a set of circumstances where deliverability of the development will not take place without some form of public sector intervention to support deliverability and wider regeneration objectives. Hotel proposal 4.3 Beyond Retail are seeking to refurbish part of the Paisley Centre (building fronting New Street) for a 129-bed hotel which would be operated by a national hotel brand. This would include refurbishing the existing property as well as adding a storey to the top of the building. The existing restaurant unit at New Street (currently Barga) would be retained as would the pend vehicle access into the centre of the development (currently service yard access). 4.4 Both Beyond Retail and the Council have commissioned financial appraisals from specialist sectoral consultants of the viability for the proposed hotel. Page 50 of 56
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Both appraisals independently conclude that although strong demand for a quality hotel offering within central Paisley is achievable, it is not sufficiently attractive to achieve commercially investable status that would attract a private sector led development and would require public intervention to be deliverable. 4.5 Council led intervention in similar non-commercially investable hotel developments have been undertaken across the UK. Although not exclusively, typically, this has involved an approach generally known as an “income strip” funding model. This involves the Council agreeing to a long lease of the completed hotel with ownership transferring (to the Council) at the end of a typically a 35-year lease period, with an operator running the hotel on behalf of the Council. During the lease period the Council would be liable to pay the annual lease costs to an investor with the year 1 lease cost typically set at 50% of projected stabilised income levels and adjusted annually for inflation throughout the life of the lease. The annual lease payments would be funded from the operating profits of the hotel facility which would flow to the Council with any excess being retainable by the Council to establish a fund to manage the commercial and financial risk over the long-term period of the lease. A strong business case would be expected to provide a significant lease coverage ratio to demonstrate confidence that throughout the life of the development the income streams to the Council would materially exceed the lease costs, would provide acceptable outcomes within sensitivity scenarios and provide the opportunity to establish a long term fund to protect against commercial and financial risk given the long term nature of the project. Residential & Retail proposal 4.6 The proposal emerging from Beyond Retail is to construct 80 high quality residential apartments in the centre of the current shopping mall site, extending from High Street to the existing service yard. This would also involve demolishing the former M&S unit, which is also owned currently by Beyond Retail. 4.7 Normally, on a cleared site, the development of this number of residential units would be economically viable for either sale or as is increasingly being witnessed across the UK as part of a long term private rental portfolio. However, in this instance the estimated demolition and site preparation costs are acting as a major commercial inhibitor which undermines the commercial viability of a residential development of this nature. Due to this, Beyond Retail have approached the Council to explore opportunities for a form of public sector led residential development that could support a range of range of potential mix of tenures, including potentially social rented (through housing association) and or a privately rented model. 4.8 In order to fully understand the market context and potential demand for the proposed uses, Council officers commissioned a residential development expert to advise on the viability and likely demand for such properties in this location for rent. Page 51 of 56
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This report confirmed that although market analysis would indicate an expectation of strong demand for 80 quality flats within a private rented model, the level of sustainable long term rental income within the context of the Paisley private rental market would generate an associated commercial value which would be significantly less than the cost to deliver the residential development. 4.9 This reflects the high costs associated with the demolition, site assembly and associated public realm in addition to the core construction costs as set against the level of rents within the Paisley area. This work confirmed that if residential development was to be deliverable as part of an overall development it would, like the hotel proposal, require some form of Council led public sector involvement and or intervention utilising for example an income strip style of model. 4.10 The proposed development also consists of a significant floorspace for retail, leisure and food & drink units (circa 3,000 sqm), primarily at ground floor across the residential development, including at Paisley High Street. This is considered preferable from a planning and design perspective as it will keep ground floor frontages active throughout the day and evening. No specifics are determined yet for these aspects, but the developer’s preference would be to introduce an element of convenience (food) shopping to this mix and would be targeting a pre-let ahead of construction delivery. It would be expected that the retail element would potentially form part of any income strip model developed albeit financially this would be on a much smaller scale than either the hotel or residential elements of the development. 4.11 Another aspect discussed with the developer has been the introduction of an open plaza / square to the rear of the existing Paisley Arts Centre as part of the public realm space and the costs to deliver this would require to be underpinned across each element of the overall masterplan development. Health Centre proposal 4.12 Circumstances surrounding the health centre proposal remain unchanged from 2022. Beyond Retail held initial discussions with NHS Greater Glasgow and Clyde in 2021 about the potential for a new health centre investment in Paisley Town Centre. The outcome of these has been that the NHS are still undertaking reviews of current service provision and are not yet able to reach a decision on the Paisley context. 4.13 The health centre proposal is planned to front the St Mirren Brae / Causeyside Street aspect of the development site. The footprint would essentially cover the former Co-op Department Store. This remains within Beyond Retail’s current plans but will be monitored and reviewed as required going forward. 5. Business Case Development 5.1. During exploratory high-level discussions to date with Beyond Retail and work progressed by officers, it has been established that the site exhibits strong market failure characteristics. Page 52 of 56
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This reflects the specific complexities and high anticipated costs associated with redeveloping this site coupled with the inherent ceilings of market values deliverable within Paisley’s commercial and housing sectors. As such, successfully delivering a commercially led redevelopment is unlikely to be achievable and it is highly probable that some form of public sector intervention would be required to create circumstances that would support a deliverable masterplan. 5.2 The proposed models suggested by Beyond Retail that could underpin a potential partnership approach to redevelop the site have been utilised in other similar redevelopment projects within the UK, including within Scotland. Notwithstanding the precedent of such models being utilised elsewhere, a detailed and robust business case would require to be developed to support a more complete assessment of the option(s) specifically deliverable within the context of the Paisley Centre and allow the Council to consider and undertake appropriate due diligence on the benefits and risks of potentially moving forward with a partnership approach to progress delivery. 5.3 In this context, Beyond Retail are seeking a commitment from the Council to work in conjunction with them to support the development of a full and comprehensive business case that would allow the Council to assess, undertake appropriate due diligence to inform a decision on whether to move forward to deliver through a joint arrangement a redevelopment masterplan project. The costs to develop and deliver the full business case proposal would be borne by Beyond Retail and are anticipated to represent a significant at-risk investment. The Council would incur expenditure securing appropriate external sectoral commercial expertise to support the Council to ensure appropriate independent oversight, challenge and influence was applied to the business case development process. 5.4 High level objectives from the Council’s perspective would be to deliver a full business case that: - Supports a robustly assessed, technically deliverable and market fundable development project, requires no capital funding or investment directly by the Council, is projected to be fully self-financing over the life of the project requiring no anticipated annual financial support, is projected to generate strong financial coverage ratios throughout the life of the project to provide confidence on the financial capacity and resilience of the project to self-manage financial and commercial risks and the impact of uncertainties over the life of the project without requiring any direct Council support, provides additional and appropriate commercial / financial protections and or guarantees of substance to further mitigate the Council from financial risk. Page 53 of 56
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5.5 It is also recognised that there are several fundamental and challenging issues that the business case process will be required to address that specifically arise from the complex characteristics of this redevelopment proposal. These include but would not be restricted to: Technical challenges and complexity of the proposed scheme 5.6 There are many buildings occupying the existing Paisley Centre site. The site has also been developed over multiple levels (5 storeys) and has relationships with several surrounding buildings in prominent town centre locations. The demolition process would consequently be complex, and a business case will require a substantial level of developed technical understanding and due diligence of the approach to be taken and the costs associated with the demolition and site assembly process and how existing users will continue to operate during and after this process. How to achieve the desired development quality withing a site of this nature 5.7 Given the type of development proposed and the indicated occupiers of the space (retail, hotel, leisure and residential) the physical product and surrounding spaces / vicinity and linkages with the town centre would necessarily require to be to be of a high quality, at least on par with the best alternative areas within Paisley town centre. 5.8 The Council recognise the characteristics of this specific site will present added challenges and complexities to achieve this and some key questions that need to be considered will be: a. The residential aspects and amenity from all floors of each residential block; b. The public spaces and public realm in and around the hotel and through the development i.e. feel, quality, degree of natural lighting etc; c. The pedestrian transition from Arts Centre to High Street; d. How the hotel and residences would be serviced and accessed; e. How will this relate to any retention of the former Co-op Dept Store building. The cost of delivering the completed scheme 5.9 Given the site complexities, both for the demolition, site assembly and construction process, estimating the cost to deliver the development, within a challenging and volatile economic period, will require a significant and careful degree of development and will require significant input from suitable sectoral expertise. The Beyond Retail business case process will be required to demonstrate confidence in the predicted build cost for all aspects of the development which are inextricably linked to the overall viability of the proposal. Page 54 of 56
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6. Next steps 6.1 It is recommended that Council officers are instructed to continue to work in conjunction with Beyond Retail to develop a detailed business case proposal to support the redevelopment of the site and officers be delegated approval to engage the required commercial sectoral expertise to be funded from existing town centre regeneration resources to ensure the Council is appropriately supported in this process. 6.2 Reports will be brought back to the board as the business case process progresses and, once completed, a full report be brought back to board for detailed consideration and decision on whether to move forward to deliver the regeneration ambition. ___________________________________________________________________ Implications of the Report 1. Financial – At this point there is no formal financial commitment required from the Council beyond up to an estimated £0.1 million funding from existing regeneration resources to support the commissioning of relevant expertise and advice for the Council. However, the developer is committing to funding significant consultancy, design, and development costs with an expectation that the Council is committing to full and appropriate consideration of the completed business case and a decision to progress with a delivery phase should the business case satisfy the Council’s requirements and assessment in full. 2. HR & Organisational Development – None. 3. Community/Council Planning – Jobs and the Economy - the scheme has the potential to secure additional income for Renfrewshire based businesses, which in turn could support more investment and jobs within the local economy. 4. Legal – None at present. Any changes to this would be the subject of subsequent reports to Board. 5. Property/Assets – None at present. Any changes to this would be the subject of subsequent reports to Board. 6. Information Technology - None. 7. Equality & Human Rights (a) The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report. 8. Health & Safety – None. 9. Procurement – None. Page 55 of 56
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10. Risk – None. 11. Privacy Impact – None. 12. COSLA Policy Position – Not applicable. 13. Climate Risk – Not applicable. _________________________________________________________ List of Background Papers None. Author: Alasdair Morrison; Head of Economy and Development; Email: alasdair.morrison@renfrewshire.gov.uk Page 56 of 56