A Compulsory Purchase Order (CPO) could be used on the stalled New Chinatown development site if it isn’t sold to a new developer.
A request for CPO powers to be used by Liverpool City Council will be considered by cabinet members during a 21 July meeting.
Chinatown Development Company Ltd acquired the site in June 2015, which was known as Tribeca, from Urban Splash and the city council to build a mixed-use scheme over three phases.
A 140-bed hotel, 790 new homes and 11,246 sq m of commercial and retail space were proposed for the site to create New Chinatown.
Phase one had received detailed planning consent in December 2015 with a 250-year lease also granted in April 2016, and phases two and three had secured outline planning permission.
Works on the site have since stalled and the building contractor also went into administration.
Negotiations with Liverpool City Council have since led to an agreement that the site is independently marketed over the summer for a new developer to deliver either the consented vision or an amended scheme.
A report to be considered by cabinet next week recommends that, if a commercial sale does not materialise, the local authority progresses with CPO powers to assemble the Great George Street site for redevelopment under the Planning and Compulsory Purchase Act 2004.
According to Liverpool City Council, the CPO for New Chinatown would be conditional on identifying a new developer which is prepared to agree to underwrite the local authority’s costs in preparing, submitting and processing the order and funding the acquisitions, including the £950,000 debt that is owed to the council in relation to the phase two site.
Councillor Ann O’Byrne, Deputy Mayor of Liverpool, says: “Liverpool City Council has been deeply concerned with how events have unravelled with the funding of Chinatown Development Company Ltd’s scheme.
“This report illustrates how hard we have been working to rectify the situation and the lengths we will go to, if necessary, to ensure the site is developed.
“It is vital that a new developer is found to get this scheme – or an amended one – back on track for the good of the Chinatown area, the city and those who have invested in it.”