The Princesshay Partnership, the joint venture between the Crown Estate and TH Real Estate, has axed £75m plans to extend the Princesshay shopping centre in Exeter due to “current market conditions”.
The proposals, which were first submitted in 2015, included a redevelopment of the adjoining coach and bus station and would have created 180,000 sq ft of new shops, restaurants and cafes.
However, due to a lack of appetite and increased cautiousness from occupiers, the extension will no longer be delivered.
In a statement, Princesshay said: “The partnership was committed to providing a successful development for Exeter, which required the right mix of shops and restaurants to take the space. Unfortunately in the current market, many retailers and restaurants are now more cautious about making new commitments, particularly in proposed developments, which take time to build and require a commitment several years ahead.”
The proposed £75m extension was approved in July last year by Exeter City Council. At the time, Karime Hassan, chief executive and growth director for Exeter City Council told local newspaper the Devon Line that the development would secure Exeter as a “premier destination for retail and leisure outside Bristol”.
During the initial public consultation of the scheme, 76% of people voted in favour of the development.
John Grinnell, deputy head of development and project management at the Crown Estate, said: “We know this is disappointing news for many people, including for our own team who have been working hard for over two years, along with a team of architects, agents and advisors, to try to make this project work. We want to be clear that we remain as committed as ever to Exeter and to the existing Princesshay centre, which is a fantastic shopping and restaurant destination in its own right. We’re now looking at what more we can do at Princesshay to further enhance the experience for shoppers and will continue to work closely with the council and others in the area to help achieve this.”
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