Council-owned hardware store set to be split in two
The unit was bought by the council for £12.1m in 2017
- Published
A council-owned unit, currently used by a hardware giant, could be split in two to provide space for the existing store and an Aldi supermarket.
Southampton City Council bought 271 Winchester Road in 2016 for £12.1m and Wickes has a lease for it, which is due to expire in September 2027.
The authority plans for Aldi to move into part of the newly divided unit and take on a new 20-year lease.
It would also pay for the work and then pay reduced rent for 10 years as part of the deal, equivalent to a reimbursement of £1.7m.
Wickes would then take on a new lease for the remaining part of the unit for a 15-year term.
According to the authority, the proposal offers it "an opportunity to be able to improve the physical condition of [the] property [and] reconfigure the current layout, which is not compatible with market demands".
The project is set to be agreed by the council's cabinet on Tuesday, ahead of it going to all councillors in February.
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