Fund to redevelop vacant urban sites reopens

The second round of the scheme reopened on Monday

A government scheme to help private developers regenerate disused urban areas has reopened for a second round of applications.

Under the Island Infrastructure Scheme, private developers will be able to apply for public funds to pay for up to 25% of a project's cost.

Funding for three projects in Douglas and the redevelopment of a hotel site in Port Erin were provisionally approved as part of the first round of the scheme in 2023.

Enterprise Minister Tim Johnston said he hoped more residential plans would be put forward to help meet government targets on increased housing provision.

The first round had "spurred regeneration and investment from developers for sites that have remained empty for years", he said.

The scheme has already seen support for a multimillion pound office, retail and hotel complex on the Villiers site on Douglas Promenade and plans for 109 new apartments, which were recently given planning permission.

The redevelopment of the site of a former Isle of Man bus station on Lord Street in the capital to include 85 apartments, offices and flats has also been earmarked for support.

The former Ocean Castle Hotel site in Port Erin is set to be replaced with 38 apartments, with developers Tevir Properties Limited eligible for up to 10% of the costs.

'Another step'

Mr Johnston said some £90m of private sector funding had been pledged in support of the "substantial regeneration".

The scheme was a "really clear way of stimulating and supporting commercially viable development and leveraging private sector expertise and investment", the minister said.

The second round of the application process, which will run for 12 months, was "another step" towards a government priority of the transformation of brownfield sites.

Applications for the scheme can be made until 30 June 2025.