Freshney Place Acquisition Cost Influenced by Car Park Condition

North East Lincolnshire Council has stated that the acquisition cost of Freshney Place shopping centre in Grimsby was reduced because of the state of its car parks. The council acquired the facility in 2022, following its entry into receivership, paying below the initial asking price using funds from the government’s Future High Streets Fund. The council indicated its intention to undertake repairs on the shopping centre’s two car parks, citing water infiltration into their structural components. Councillors convened a meeting to deliberate on the maintenance expenses prior to approving the commencement of the work. As reported by the Local Democracy Reporting Service, a council document concerning the car parks indicated that rectifying the concrete structures would require approximately 18 months. The report described the two car parks, which collectively offer 849 parking spaces, as being “open to the elements and in worst condition”. This document further specified that without the necessary work, water would “continue to penetrate into the concrete” leading to degradation “at an accelerated rate”, thereby diminishing the car parks’ operational lifespan. While the projected expenses for these works have not been disclosed publicly, councillors have been informed. Councillor Philip Jackson stated that no funds needed to be borrowed for the council’s acquisition of the centre, which was bought for less than the £17.1m asking price, utilizing £16.5m from the Future High Streets Fund. He added that the awareness of forthcoming repair requirements for the car parks contributed to the reduced acquisition cost. Councillor Paul Henderson, an opponent of the council’s acquisition of Freshney Place, posed the question: “How many more hidden costs are there?” He further stated, “I’d like to request no further expenditure on Freshney Place until there’s a full, accurate treasury business case, passed by scrutiny and cabinet.” Jackson commented that the leisure scheme “will be reporting back more fully over the next month or so”. He also remarked, “The alternative to not spending money on maintaining the car park at Freshney Place is that it continues to deteriorate,” concluding, “That would eventually make the car park unviable.”