Although many commercial developments in the UK at present place a great deal of emphasis upon retail, leisure and office space, the upturn in the economy has allowed for a wider range of investment into conference and events space. This has worked firmly in the favour of Yorkshire based Henry Boot Developments, which has now gained backing from Aberdeen council for a new conference and exhibition centre to replace the existing facility at the Bridge of Don.
The development partners will work to create a new centre after the council decided that the present Aberdeen Exhibition and Conference Centre is no longer fit for purpose, having been constructed in 1985 and having had only minimal modernisation efforts since. Following the demolition of the current facility, the council intends to introduce a mixed use residential led scheme on the site as a means of ensuring Bridge of Don remains economically viable in the current climate.
Chief executive of Aberdeen City Council, Angela Scott, believes the new centre will prove invaluable in further promoting the city’s booming oil industry.
She says; “The AECC generates more than £80 million for the north east economy each year and approximately £140 million in Offshore Europe years, but the existing centre is no longer fit for purpose or big enough to accommodate the growing industry conferences or entertainment events.
“Without a new facility, there is no doubt Aberdeen will lose out on these events and the significant economic benefits they bring.”
The new centre will be constructed upon a currently vacant site in Bucksburn, giving it excellent access to both Aberdeen city centre and the nearby Dyce airport. Along with the conference centre itself, which will measure around 750,000 sq ft, the site will gain two new hotels and an anaerobic digestion green energy centre which will be useful in helping the local authority meet environmental targets.
Henry Boot Developments will lead the project and is in the process of drawing up an application for targeted planning permission, which will be submitted by the end of this year. Should this be granted swiftly, work could then begin by mid-2016, allowing the initial phase of the project to be completed by the end of 2018.
The backing of the council in this situation is expected to prove extremely beneficial to the developer as, along with providing financial assistance, its involvement will allow for a comprehensive public consultation and access to discussions with the city’s planning committee. Furthermore, it may prove invaluable in securing operators for the hotels.
Ms Scott continues; “We have worked very hard to reduce the council’s financial exposure for this essential new facility by more than £50 million in the face of the overall development costs increasing as a result of a number of factors, including inflation and increasing construction and infrastructure costs.
“The expanded development now includes a second hotel and an energy centre, which have been added to bring in additional income streams to offset the development costs.”
