Multi puts its Summer Row scheme on ice as funder fails to deliver
Published: 06 January, 2009
Multi Development UK has confirmed that its planned Summer Row development in Wolverhampton will be delayed because its development partner has not made the required funding available. NI Investors had been due to provide finance for Multi to complete the purchase of the site, but Multi says this will not now happen until next year at the earliest.
Paul Sargent, managing director of Multi Development UK, said: “Multi Development UK are devasted that NI Investors have not completed on the formal funding agreement within the established timeframe. Without their financial forward commitment to the project we are unable to proceed as planned.”
But he reiterated that Multi remains committed to the project, and hopes to start on site in 2009. Debenhams and Marks & Spencer had agreed pre-lettings to anchor the mixed-use development and Sargent added: “The recent signing of Marks & Spencer is positive news for Wolverhampton and has generated enormous further interest even in the current retail climate. We are in unprecedented times now and should we need to identify new funding partners it will be difficult to do so but we will not give up.”
The news serves to confirm a recent prediction by CB Richard Ellis that the development pipeline for new shopping centres in the UK would dry up rapidly, with an increasing number of projects being either postponed or cancelled.
