The council said the scheme, designed by architect BDP, was “no longer financially viable and will not now be going ahead in its current form”.
This is not a paywall. Registration allows us to enhance your experience across Construction Management and ensure we deliver you quality editorial content.
Registering also means you can manage your own CPDs, comments, newsletter sign-ups and privacy settings.
Preston City Council leader Peter Rankin, said: “We are in the middle of one of the worst economic and financial situations since the 1930s and it is now clear that the large-scale comprehensive Tithebarn scheme, that received planning permission as originally proposed, is financially unviable.
“The world has simply changed and we have to move on and be realistic about what can be achieved.”
But the council said it hoped that the regeneration of the Tithebarn area of the city would still go ahead.
Rankin said the council and its development partner Lend Lease were rethinking the proposals.
“The opportunity that now presents itself means that we can review all our buildings and assets in a new way,” he said.
“Our aim though is to still re-generate the Tithebarn area of the city. Our development partner Lend Lease is working with us to rethink the proposals for Preston city centre, and together we are exploring how best to achieve the city’s ambitions.”
Lend Lease is sole developer of the scheme after Grosvenor pulled out in 2009, Building reported. A spokesman said the firm was already working on proposals for a new project.
Richard Coppell, development director for Lend Lease, said: “While we are disappointed that Preston Tithebarn is not going ahead as originally planned, this is unsurprising given the market backdrop. The tough economic climate and John Lewis Partnership’s decision not to come to the city centre means that the scheme’s design needs to change. Lend Lease remains the City’s development partner and we are continuing to work closely with the Council to help Preston achieve its ambitions.”
The Tithebarn scheme, which has been dogged by controversy, was first proposed in 2000, but only received planning permission finally in November last year on appeal.
