£9m water park loan is safeguarded - Finance bosspublished at 13:24 Greenwich Mean Time 1 February 2019
Local Democracy Reporting Service
Scarborough council's finance director says "checks and balances" are in place to safeguard its £9m investment in the town's water park.
Nick Edwards has told councillors there are options open to the council which include taking possession of the North Bay attraction.
It comes after the operator of the £14m facility, Alpamare UK, secured a company voluntary arrangement earlier this month to stave off a winding-up petition brought by British Gas over an unpaid bill of approximately £700,000.
The firm said at the time that was fairly common when a company has debts but is still "a viable business".
The firm said it will still go ahead with plans to open a new spa and it's looked at the way it runs the business to better suit varying customer demand throughout the year.
Scarborough Borough Council gave a £9m loan to the developer of the water park, Benchmark Leisure, and there were some concerns from councillors and residents that repayments would be in jeopardy.