Council Considered Buying St Mary’s Place Shopping Centre

It’s emerged Harborough District Council expressed interest in buying St Mary’s Place Shopping Centre, which is currently up for sale for £10 million.

The authority held initial talks with the centre’s owners last year and set aside £1.5 million for legal and other costs linked to a potential purchase.

However, the talks did not progress and the idea was dropped.

St Mary’s Place remains on the market, along with the adjoining Springfield Retail Park.

The council’s Conservative administration says the discussions took place before it took control of the authority in April.

Councillor Phil King, Deputy Leader and Cabinet Member for Finance and Assets, said: “The current administration inherited a £1.5 million budget provision to meet the potential acquisition costs for the potential purchase of St Mary’s Place.

“We had previously indicated that we did not support this proposal.

“The council did not pay for work in respect of the proposal, and it was dropped at an early stage. No purchase took place.”

The potential purchase was considered directly by Harborough District Council, rather than its property company, Harborough District Commercial Services Ltd, which is currently being wound up.

St Mary’s Place remains on the market, along with the adjoining Springfield Retail Park, which is home to retailer including The Range.

Agents marketing the properties say St Mary’s Place currently generates gross income of £1.73 million a year, with net operating income of £1.72 million after landlord shortfalls.

The centre is let to 26 tenants, producing a current gross rent of £1.06 million a year.

Springfield Retail Park is also being marketed, with offers sought in excess of £8.75 million.