Consideration was given to a report of the Executive Director, Place and Economic Growth, which sought to update the Cabinet on the present position of Site A Princes Gate, the current market conditions and future options.
The Council had received notification from Lidl that the changing market conditions in the hotel and leisure sector had resulted in them no longer being able to deliver the contracted agreement at the town centre site.
Subsequently, Lidl and the Council had agreed to progress a mutual surrender and termination of the existing agreement (between Oldham Council and Lidl UK GmbH dated 27th February 2019) reflecting the current market conditions.
Options/ alternatives considered
Option 1- Mutual surrender/termination of the agreement.
Option 2 - Unilateral termination by the Council.
Option 3 - Agree a variation of the existing contract. However, this was not
considered a viable option.
RESOLVED – That the Cabinet would consider the commercially sensitive information at Item 15 before making a decision.