ASDA withdraws from Exe scheme

Above: An artist's impression of the estuary side of the proposed ASDA development on the Exe.
Picture credit: http://www.asdadevelopments.co.uk/

News of the loss of funding to the tune of nearly £3 million for the proposed visitor centre on the Exe at Exmouth has been followed by the announcement that the principal backer ASDA has withdrawn.

The cash had been earmarked by the South West of England Regional Development Agency (SWRDA) to assist with the capital costs of building in partnership with ASDA the Exe visitor centre as reported by Exmouth Roadies on 27 January.

East Devon District Council has said that it is “deeply disappointed” at the news received last Monday, 9 February, that supermarket giant ASDA had confirmed it will not proceed with its plans for a supermarket development on the Royal Avenue site. The Council was told that ASDA's Development Team were unwilling to satisfy its requirements of a package of community benefits to the town, including a new sports centre and swimming pool, a Jurassic Coast visitor centre, a new library and a large town-centre food store and supermarket. The news means that a complete re-think will be needed by the various agencies that had been pinning hopes of regeneration on a major injection of private cash.

Councillor Ray Franklin, EDDC's Portfolio Holder Strategic Planning and Regeneration, said: “This is deeply disappointing. We felt we were reaching out for some really ambitious but exciting plans for Exmouth. In these difficult times, it is not a complete surprise that any company is cautious about a massive investment such as this, but it is still a great shame.”

Councillor Franklin, who lives on Knowle’s Dalditch Lane, continued: "We have always stated that provision of a new sports centre and swimming pool was the price that had to be paid for developing on the Royal Avenue site.”

“The supermarket was part of a package of facilities that we insisted on if this development was to go ahead. We would not dream of accepting second best. We would not sell Exmouth short.”

Councillor Peter Halse, EDDC's Portfolio Holder Economy, and Chairman of the Exmouth Regeneration Programme Board, said "We will now have to let the dust settle and have a re-think about the future. The implications of this news are obviously far-reaching.”

"This is not the end of the road by any means, but it will take time to come up with alternative ideas and we will actively investigate other options."

ASDA itself is blaming the credit crunch for the impact that it has had on the value of the scheme's residential element and its prospects for rental income as its Property Communications Manager Chris Marlow confirmed. "The economics of the development have changed substantially, leaving the proposal, as it stands, unachievable in the current market environment. With this in mind, ASDA believes that the most appropriate action is to withdraw."

The ASDA on the Exe plan has of course been controversial since it was first announced, arousing passionate opposition as well as support in local media.

“EDDC are missing a huge opportunity to regenerate Exmouth as a watersports haven, utilising the natural resources that we have in abundance (water, wind, sandy open spaces),” notes one blogger on Exmouth Citizens Forum.

“Just as Newquay is known for its surfing scene, Exmouth could and should become known for its sailing/wind surfing/kite surfing/kite buggies scene (but without the honky-tonk side of Newquay). This would bring in tourists of all ages, fill local hotels and B&Bs, keep restaurants and pubs busy, and enable more watersport and associated shops to flourish in town. People are already looking to holiday more in UK due to recession and the environmental impact of flying, so why is no one pushing this proposal instead of a carbuncle of a not-so-supermarket on a site of SSSI?” http://www.exmouthcitizensforum.com/forum/viewtopic.php?f=2&t=4&p=8#p8

In a statement issued by Exmouth Citizens’ Forum, chairperson Megan Armstrong commented: “This is marvellous news for all those thousands of people whose views have constantly been ignored by most local politicians. Now it is time for people to become involved in a new, community-led planning process for the estuary site which the Forum would like to promote as part of a quality vision for Exmouth.”

Ms Armstrong added: “The Forum has been battling for more than four years to stop such a development and during that time has held several public meetings and demonstrations, organised a 10,970 signature petition which was presented to the House of Commons and initiated a town referendum in which 94% of voters rejected such proposals. The Forum also carried out a public survey, 'Vision for Exmouth' in order to gauge people's views about how the town should be developed, including the estuary side.”