Mansfield District Council has agreed plans to surrender its lease on Walkden Street Car Park.
Mansfield District Council has agreed plans to surrender its lease on Walkden Street Car Park, marking a significant step forward in addressing the aftermath of the site’s partial collapse and ensuring public safety.
The decision was approved by councillors at a meeting on 30 June 2026 following detailed negotiations following Tesco’s claim against the council.
The multi-storey car park suffered a partial collapse in August 2025, leading to serious safety concerns and the structure being deemed unsafe. Since then, the council has been working with landowners and partners to make the building safe and secure a long-term solution.
Negotiations are ongoing and the deal is yet to be finalised but the decision taken at the meeting will bring the council closer to being able to settle Tesco’s claim and surrender its lease, removing all ongoing responsibilities and enabling the safe demolition of the building. This allows the council to move forward with certainty.
As part of this, councillors approved additional borrowing of £7.5 million to support the arrangement and its associated costs. The council recognises the scale of the borrowing that’s been approved but the sum is significantly less than the financial commitments the council would be subject to if Tesco’s claim were successful, which are estimated to be in the tens of millions of pounds.
Exiting the lease would ensure the council can focus on making the site safe, without the burden of long-term liabilities linked to maintaining or rebuilding the structure.
James Biddlestone, Chief Executive of Mansfield District Council said:
“Following the collapse of Walkden Street Car Park, our priority has always been the safety of our residents, businesses and visitors. This decision is a significant step towards us being able to take control of the situation, remove a dangerous structure and move forward with confidence.
“While this remains a complex and challenging issue, significant progress is being made towards settling the claim by agreeing the surrender of the lease and ensuring the site is safe.”
As negotiations are still ongoing some elements of the council’s decision remain confidential due to legal and contractual considerations.
Elected Mayor of Mansfield, Andy Abrahams said:
“At last night’s Full Council, we had unanimous, cross-party support for the approval of us taking the next steps to exiting a lease, which had 48 years remaining on it. The agreement, if accepted, avoids at least £16 million in future lease payments alone, as well as significant additional rebuilding and maintenance costs that could have run into tens of millions more. This is good news and a significant step towards us being able to move forward. I would like to thank everyone for their patience and understanding as we continue to navigate through a very complex situation.”
