City leaders seek £1bn for York

City leaders seek £1bn investment in York

City leaders seek £1bn investment in York

Updated in News York Press: Photograph of the Author by , Business editor

NEGOTIATIONS are underway to attract £1 billion of external funding into York as the council looks to global investors to boost growth.

City of York Council is market-testing an alternative method of funding infrastructure projects, by seeking investment from the private sector.

Alongside bidding for central Government funds, council officials are engaging with external investors over the potential for funding major infrastructure and development projects identified as being critical to the city’s economic future.

The authority has said it doesn't have enough public assets or funding to deliver the developments and infrastructure improvements it wants to, and says the council is in a position of having to curtail its ambitions for growth or looking for private sector partnerships.

Council leader James Alexander revealed officers are in talks with representatives from state-owned investment funds in northern Europe and the Middle East, promoting York as a "great investment option" given its assets, strong economy and current growth potential.

The council is seeking a "critical mass" investment of £1 billion which would be shared among a range of infrastructure projects including road improvements and brownfield site development.

Cllr Alexander said: "The volume and pace of development needed to meet the city’s growing demand cannot be delivered by the market or public sector alone.

"With a backlog of 4,000 affordable homes, and 5,000 new homes, and an under supply of Grade A office stock in the right locations, we need to prepare a strategic investment pipeline to match proactively with appropriate viable investment options."

As talks with investors continue, council officers are preparing a report on the inward investment model, which will make recommendations for a preferred method of securing funds when presented to Cabinet in the autumn.

The council hopes that next year investors will be secured and delivery of the funds will be underway.

Comments (16)

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6:22pm Thu 19 Jun 14

The OX says...

I would not trust JA with £1 let alone 1 Billion, It wont matter they will be out next year lol
I would not trust JA with £1 let alone 1 Billion, It wont matter they will be out next year lol The OX
  • Score: -11

6:44pm Thu 19 Jun 14

Dave Ruddock says...

is it investments or loans. and surely all parties should be involved. wither way whoever it, they are, they will want something in return, Its a project no self respecting member of any council should think of without defined expectations .
is it investments or loans. and surely all parties should be involved. wither way whoever it, they are, they will want something in return, Its a project no self respecting member of any council should think of without defined expectations . Dave Ruddock
  • Score: -6

6:48pm Thu 19 Jun 14

andrew flower says...

Cloud cuckoo land gets more and more in Alexander's mind. Sooner the idiot is gone the better
Cloud cuckoo land gets more and more in Alexander's mind. Sooner the idiot is gone the better andrew flower
  • Score: -12

6:51pm Thu 19 Jun 14

thecairnman says...

if they get it they can employ lots more at £700 a day
if they get it they can employ lots more at £700 a day thecairnman
  • Score: -9

7:55pm Thu 19 Jun 14

yorkie71 says...

Thats a lot of money to pay back with interest no doubt, as we wouldn't be getting it free
Thats a lot of money to pay back with interest no doubt, as we wouldn't be getting it free yorkie71
  • Score: -12

10:23pm Thu 19 Jun 14

tizme says...

Foreign ownership of our few assets. Look what happened when British Gas became Centrica! All the profits (which will be taken out of our pockets) will go to foreign shores. There will be a foreign council running York. Couldn't be much worse than the shambles we have now though I suppose.
Foreign ownership of our few assets. Look what happened when British Gas became Centrica! All the profits (which will be taken out of our pockets) will go to foreign shores. There will be a foreign council running York. Couldn't be much worse than the shambles we have now though I suppose. tizme
  • Score: -19

11:02pm Thu 19 Jun 14

Jalymo says...

If there really was all this demand for housing and grade A offices, do you not think that our UK developers would be falling over each other to rush to York and build them ? Developers the world over need to make a profit James. You are going to get in way over your head touting for money overseas. You must be gutted to see that your vision for the growth (ie. the unsustainable ruination ) of York, is so unappealing to everyone in the UK. Your job is to make things work for the people that are already here, not build an empire.
If there really was all this demand for housing and grade A offices, do you not think that our UK developers would be falling over each other to rush to York and build them ? Developers the world over need to make a profit James. You are going to get in way over your head touting for money overseas. You must be gutted to see that your vision for the growth (ie. the unsustainable ruination ) of York, is so unappealing to everyone in the UK. Your job is to make things work for the people that are already here, not build an empire. Jalymo
  • Score: -10

11:59pm Thu 19 Jun 14

greenmonkey says...

So maybe a toll road for the dualled northern bypass then?? Or will residents just have to pay more in loan repayments over 25 years, to add to the extra costs we are already going to be paying to Amy Cespa for the incinerator?
So maybe a toll road for the dualled northern bypass then?? Or will residents just have to pay more in loan repayments over 25 years, to add to the extra costs we are already going to be paying to Amy Cespa for the incinerator? greenmonkey
  • Score: -11

1:42am Fri 20 Jun 14

Badgers Drift says...

They just don't get it, do they?

They are barking up the wrong tree....

Desperation from a bunch of amateurs!
They just don't get it, do they? They are barking up the wrong tree.... Desperation from a bunch of amateurs! Badgers Drift
  • Score: -15

1:46am Fri 20 Jun 14

Badgers Drift says...

"The council hopes that next year investors will be secured and delivery of the funds will be underway."


They haven't got a hope in hell.......

Can someone put them out of their misery and tell them to leave it to those who can.
[quote] "The council hopes that next year investors will be secured and delivery of the funds will be underway." [/quote] They haven't got a hope in hell....... Can someone put them out of their misery and tell them to leave it to those who can. Badgers Drift
  • Score: -19

5:59am Fri 20 Jun 14

Phalanges says...

China Town.
China Town. Phalanges
  • Score: -22

9:57am Fri 20 Jun 14

AGuyFromStrensall says...

Jalymo wrote:
If there really was all this demand for housing and grade A offices, do you not think that our UK developers would be falling over each other to rush to York and build them ? Developers the world over need to make a profit James. You are going to get in way over your head touting for money overseas. You must be gutted to see that your vision for the growth (ie. the unsustainable ruination ) of York, is so unappealing to everyone in the UK. Your job is to make things work for the people that are already here, not build an empire.
What planet are you on? York has an unbelievable shortfall in housing stock! What do you think is the biggest reason that house prices are so out of whack with the northern average?

However there are many other issues that mean they can't be built (greenbelt, local plan, lack of infrastructure, NIMBYs etc)
[quote][p][bold]Jalymo[/bold] wrote: If there really was all this demand for housing and grade A offices, do you not think that our UK developers would be falling over each other to rush to York and build them ? Developers the world over need to make a profit James. You are going to get in way over your head touting for money overseas. You must be gutted to see that your vision for the growth (ie. the unsustainable ruination ) of York, is so unappealing to everyone in the UK. Your job is to make things work for the people that are already here, not build an empire.[/p][/quote]What planet are you on? York has an unbelievable shortfall in housing stock! What do you think is the biggest reason that house prices are so out of whack with the northern average? However there are many other issues that mean they can't be built (greenbelt, local plan, lack of infrastructure, NIMBYs etc) AGuyFromStrensall
  • Score: 14

10:46am Fri 20 Jun 14

AGuyFromStrensall says...

AGuyFromStrensall wrote:
Jalymo wrote:
If there really was all this demand for housing and grade A offices, do you not think that our UK developers would be falling over each other to rush to York and build them ? Developers the world over need to make a profit James. You are going to get in way over your head touting for money overseas. You must be gutted to see that your vision for the growth (ie. the unsustainable ruination ) of York, is so unappealing to everyone in the UK. Your job is to make things work for the people that are already here, not build an empire.
What planet are you on? York has an unbelievable shortfall in housing stock! What do you think is the biggest reason that house prices are so out of whack with the northern average?

However there are many other issues that mean they can't be built (greenbelt, local plan, lack of infrastructure, NIMBYs etc)
Ok that's got lots of down votes. Do people really believe high housing prices in York aren't massively affected by lack of housing? I thought this was a statement of fact rather than conjecture - I'm confused...
[quote][p][bold]AGuyFromStrensall[/bold] wrote: [quote][p][bold]Jalymo[/bold] wrote: If there really was all this demand for housing and grade A offices, do you not think that our UK developers would be falling over each other to rush to York and build them ? Developers the world over need to make a profit James. You are going to get in way over your head touting for money overseas. You must be gutted to see that your vision for the growth (ie. the unsustainable ruination ) of York, is so unappealing to everyone in the UK. Your job is to make things work for the people that are already here, not build an empire.[/p][/quote]What planet are you on? York has an unbelievable shortfall in housing stock! What do you think is the biggest reason that house prices are so out of whack with the northern average? However there are many other issues that mean they can't be built (greenbelt, local plan, lack of infrastructure, NIMBYs etc)[/p][/quote]Ok that's got lots of down votes. Do people really believe high housing prices in York aren't massively affected by lack of housing? I thought this was a statement of fact rather than conjecture - I'm confused... AGuyFromStrensall
  • Score: 18

12:47pm Fri 20 Jun 14

Archiebold the 1st says...

One trillion dollars.... said dr evil

imagine how many 20mph signs, closed bridges, closed bridges, pointless junctions, traffic lights and barges that could buy!!!

No doubt it will be such an investment opportunity too... just like the green p&r making £4 for every £1 spent... (ps record number on today’s!!! i saw 6!!! they all looked old though so doubt they paid.)
One trillion dollars.... said dr evil imagine how many 20mph signs, closed bridges, closed bridges, pointless junctions, traffic lights and barges that could buy!!! No doubt it will be such an investment opportunity too... just like the green p&r making £4 for every £1 spent... (ps record number on today’s!!! i saw 6!!! they all looked old though so doubt they paid.) Archiebold the 1st
  • Score: -15

1:51pm Fri 20 Jun 14

oi oi savaloy says...

Doesn't matter how much money the council will get, the majority of the money will be trousered, a big chunk will go on cucumber sandwiches, a further big chunk on some B/S presentation ceremony and about 2% on a city centre project.....
Doesn't matter how much money the council will get, the majority of the money will be trousered, a big chunk will go on cucumber sandwiches, a further big chunk on some B/S presentation ceremony and about 2% on a city centre project..... oi oi savaloy
  • Score: -19

3:26pm Fri 20 Jun 14

Young the Southbanker says...

We should be aware that this 'attracting investment' might not be what it seems.
The last Government signed up some eye-watering finance (PPI) deals. These have forced some councils and the NHS to make swinging service cuts.
I'm tempted to call hem 'stupid', but I suspect 'desperate' is nearer the mark.
We should be aware that this 'attracting investment' might not be what it seems. The last Government signed up some eye-watering finance (PPI) deals. These have forced some councils and the NHS to make swinging service cuts. I'm tempted to call hem 'stupid', but I suspect 'desperate' is nearer the mark. Young the Southbanker
  • Score: -20

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