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Plan to convert town shop into flats is abandoned      10/2/14

 

Plans to convert one of the largest shop buildings in Stornoway into flats have collapsed.

 

Government funding was used to buy the premises, ironically for an initiative to smarten up the town centre some four years on, and now, Western Isles Council wants more finance for similar reasons to prevent it becoming a civic blight.

 

The former carpet and electrical store – which was also former a Co-op department shop - at 79 Cromwell Street was meant to be an investment when taken over by Western Isles Council around 2009 thanks to money from the Scottish Government’s Town Centre Regeneration Fund.

 

Part of the cash had been earmarked to infill part of Bayhead estuary but the proposals were were ditched amid a blazing row with the harbour authority.

 

However, the council’s purchase seems to have been a disaster as the building - next to the Royal Hotel - has never been properly upgraded and is just an empty shell.

 

Now the council has tried to tap into a new initiative which helps empty town centre properties be brought back into use as affordable housing.

 

After talks with housing agency Hebridean Housing Partnership (HHO), a bid for housing cash was submitted to the Scottish Government’s Town Centre Housing Fund.

 

The fund is for properties which would otherwise remain empty long term and cannot be rented out without improvements.

 

However, stronger applications won the cash. The seven successful bids went to Cupar, Alva, Tranent, Crieff, Carnoustie, Kirkintilloch, and Coatbridge for awards between £782,000 and £150,000.

 

Angus Lamont of HHP said the proposal had been to open up the Cromwell Street frontage as a shop and convert the first floor into flats.

 

Mr Lamont said the redevelopment plan would have been good for the site but the funding application was rejected.

 

The council previously ran out of cash to upgrade the unfinished building which requires works on its wiring, heating and plumbing systems.

 

Soon after purchasing it the authority abandoned its original aim to convert the two-storey premises into small shop units as well as craft outlets and office space for young local business enterprises.

 

The council will now market the building as retail premises though any incoming tenant has to pay for upgrades themselves.

 

The property prospectus reads: “The council is seeking proposals as to future use of the building and will be prepared to negotiate ways in which its future as a viable and sustainable business can be achieved.”

 

A council spokesman said the building a report about the sales process will be considered by councillors later this week.