Civic Quarter regeneration project could cost £92m

The project to improve Cambridge's Civic Quarter was first approved in January 2024

A major redevelopment in a city centre could cost more than £92m according to a new report from a city council.

The Civic Quarter project in Cambridge proposed an investment in three key sites: the Guildhall, the Corn Exchange and Market Square.

More than £50m was earmarked for improvements to the Guildhall, with £26.491m allocated for the Corn Exchange and £13.624m for the Market Square.

The project was due to be discussed by councillors at a Cambridge City Council scrutiny meeting on Tuesday.

The council had previously ring-fenced £20m from its reserves for the project, but clarified that this was not intended to cover the full cost.

Documents published ahead of the meeting stated the total projected cost was £92.275m, which included £4.4m for technical design and contract development.

This was in addition to £4m already spent on earlier design stages.

Current plans for Market Square included 96 stalls - 44 permanent and 52 demountable.

These were designed to offer "flexibility" for daily trading and to create space for events and cultural activities, said the Local Democracy Reporting Service.

The council said it aimed to "conserve and modernise" the Grade II listed Guildhall, to make it net zero carbon neutral and fully accessible.

Plans included creating a public cafe, new work spaces and meeting rooms for council staff, as well as work spaces for commercial tenants.

The Corn Exchange would be upgraded with energy-saving measures, including insulation and solar panels, and improved accessibility throughout the venue.

Proposals also include enhanced sound and audio-visual systems, and the creation of additional bar and concession areas.

Funding options

The report outlined four options for moving forward, but officers did not recommend pausing the project or approving only partial investment.

Other options included approving a full capital budget of £92.3m, submitting planning applications for all three sites, and continuing technical design work ahead of a final decision in September 2026.

Another was to approve £4.4m to continue technical design and submit planning applications, with a final decision also expected in 2026.

The report added funding could come from a mix of sources, including £23m from general fund reserves, £6m from the sale of Mandela House and £1.5m from A14 mitigation funds.

It also considered a £1.5m grant from the Cambridgeshire and Peterborough Combined Authority and £60.3m in external borrowing.

The papers added that further funding sources could still be explored to reduce the level of borrowing required, suggestions included additional grant funding, philanthropic funding, or venue sponsorship and naming rights.