Mansfield District Council insists a planned £12m hotel on the former bus station will still be built despite years of delays.
Permission was granted to the Arba group for a 100-bed hotel in 2020 as a flagship project on Stockwell Gate in the town .
Billed as a six-storey hotel from a national chain, estimates suggested it could have boosted Mansfield’s economy by £5 million per year.
Work was due to begin in 2021, but failed to materialise, with inflation in the construction industry being blamed.
The bus station relocated from the council-owned site 2013, and three restaurants have since gone ahead as part of the planning application.
Councillor Stuart Richardson (Lab), the portfolio holder for regeneration and growth, says the council is still working with the developer to make the hotel a reality.
“Conditions have not been favourable recent years, and construction has been hit hard by pandemic, inflation and interest rate increases,” he told a full council meeting on Tuesday (September 17).
“I met Arba recently. While conditions are improving, they’re not yet able to commence the project.
“They have agreed to bring in expert advisers for a refreshed case. I am encouraged Arba remain committed.”
Arba was chosen by the council as the preferred developer after a competitive bidding process.
When questioned by councillors, Cllr Richardson said the council wasn’t looking at using any break options in its contract with the developer.
He also pointed out that the branches of Taco Bell, Tim Hortons and Domino’s Pizza which have been built on the site had created between 70 and 80 jobs.
Richard Burns, managing director at ARBA, said when the project was approved: “It’s a major scheme that not only brings much-needed hotel beds to Mansfield, but one that has the potential to create hundreds of jobs.”
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