Quarry Hill: Plans for 78 affordable homes in Leeds city centre collapse after buyer pulls out
Plans to build 78 affordable homes in Leeds city centre have fallen through, after a buyer pulled out of purchasing the site.
The apartments would have been built on St Cecilia Street in Quarry Hill under a deal between the council and investment group Legal and General.
It would have seen an 11-storey block of socially-rented flats built near Leeds Playhouse.
But an alternative buyer is now being sought after the deal collapsed.
A Leeds City Council report said rising building costs and stricter safety regulations meant it was no longer financially viable.
It said: “A development of new apartments would have a positive effect on health and well-being as the availability of good quality homes is known to impact positively on people's welfare.”
Planning permission was previously sought for the scheme, which would have delivered 46 one-bedroom, 28 two-bed and four three bedroom flats.
A council spokesperson said an agent would be brought in to re-market the site.
They said: “Unfortunately the purchaser previously selected has struggled to bring forward a scheme to develop the site at St Cecilia Street due to funding availability but also due to changes that the Building Safety Act has had upon their proposed scheme.”
Funding for the project included a £1.4m grant agreed by the council, along with other grants and loans secured separately.
The council report said an eventual sale would raise cash for the local authority. It said: “Major financial investment will be brought to the city centre.”