YORK’S historic Bonding Warehouse has been bought by a developer and looks set to be transformed into a digital media and cultural centre with a public exhibition space.

The landmark riverside building near Skeldergate Bridge, which has lain empty and boarded up since being severely flooded in November 2000, has been bought by York developers Grantside for an undisclosed sum.

Managing director Steve Davis says a key option is for the building to be developed as a digital media and cultural centre, although existing planning permission is in place for other fallback schemes.

The Warehouse proposals would enable growing digital businesses to rent out accommodation as well as providing space for exhibitions and a cafe. The plans are being developed by a consortium of private sector, social enterprise and public sector organisations.

Steve Dann, principal economy officer at City of York Council, said an outline business plan had been prepared and funding was being sought from the Government-backed ‘Growing Places Fund,’ administered by the York, North Yorkshire and East Riding Local Enterprise Partnership (LEP).

Tim Frenneaux, enterprise partnership manager for the LEP, said it was currently considering a bid from the consortium for funding towards the cost of the project, which would be in the form of a loan, and the matter would go before a board meeting on Thursday.

Ben Clowes, a director of Bar Lane Studios, who is involved in the consortium, said the proposals were being pursued to promote the expansion of creative media in York and create a new public exhibition space, and discussions with a developer were under way.

Council leader James Alexander described the proposals as ‘really exciting opportunity for York,’ adding that he had been in negotiations with the LEP to secure funding. “So far these negotiations are positive,” he said.

The Press reported in January that a feasibility study had been commissioned to look into demand for a new “media arts facility” in the city, as well as to look at options for potential venues which included the Bonding Warehouse.

The warehouse was built in 1875 and operated as a pub, restaurant and music venue until 2000.

Grantside had recently been involved in the planned redevelopment of the Terry’s site, but recently placed it on the market.