Funding package for major Coventry city centre regeneration scheme set to be approved

A funding package is set to be approved which will ensure the regeneration of a major part of Coventry city centre with new shops, affordable homes and public open space.

The City Centre South regeneration covers an area including Hertford Street, Market Way, City Arcade and Bull Yard and over the next ten years will create a vibrant new central quarter for Coventry, delivering new homes, retail units, hospitality, leisure facilities and new outdoor public space for people to relax, meet friends and where children can play.

The project, which is being developed by Shearer Property Regen Ltd (SPRL), a partnership between award-winning housebuilder The Hill Group and Shearer Property Group, will include up to 1,500 new homes. 

If the funding package made up of £28.7 million from the £98.7 million already committed to the scheme by the West Midlands Combined Authority (WMCA) and £5.25 million from Coventry City Council is agreed by the local authority it will contribute towards the delivery of the project which includes 20% affordable housing including social rented homes.

The new homes will be delivered by Hill, a five-star sustainable housebuilder with a strong track record of regeneration projects.

There would be a range of sizes and tenures including private for sale, private for rent and affordable homes all with access to balconies, communal courtyards and other amenity space.

Alongside much needed homes, the regeneration will also focus on green corridors, including green spaces in an enhanced public realm, new tree planting and new routes through the site connecting it to Coventry Market, the station and the rest of the city centre.

Andy Street, Mayor of the West Midlands and chair of the WMCA, said: “This is yet another example of the WMCA stepping up to invest in Coventry’s bright future. We’ve already contributed £35m for City of Culture, £40m towards the redevelopment of the rail station, and tens of millions into schemes like Friargate – all of which help to drive Coventry’s revival and support its growing reputation as a cultural and economic hub.

“Backing our region’s town and city centres in order to create new jobs and affordable homes for local people is a top priority for us. We continue to fund schemes that breathe new life into our high streets - regenerating brownfield sites, re-purposing existing land and buildings, and bringing empty shops and offices back into use.

“As we bounce back post Covid and seek to supercharge our recovery, City Centre South will help to reinvigorate Coventry – and be home to hundreds of people, bringing in additional trade for local shops and businesses.”

Cllr Jim O’Boyle, Coventry City Council's cabinet member for jobs, regeneration and climate change, added: “The City Centre South project represents a major opportunity for our city. It’s our chance to take a dated part of our city centre and transform it into a mixed-use space with residential and family friendly space that incorporates green areas as well as commercial and leisure space. This will be an area that works for the people that live there, the wider city, visitors and businesses.

“These are ambitious plans, but they need to be. The way people interact with city centres is changing and we need to make sure our city is adapting too. Places should never stand still and that’s truer now than it has ever been, that’s why I’m so pleased that the private sector wants to lead this £450 million investment in the future of our city centre.

“This development also represents a real opportunity to create jobs for Coventry people at all stages – from construction to completion and we are already having discussions about how we maximise opportunities for local people.”

Cllr David Welsh, the council's cabinet member for housing and communities, said: “The plans for City Centre South are bold and befitting of our modern city. This project is about more than just regenerating our city centre; it’s about creating a new thriving community in the heart of our city.

“The most compelling aspect of the project is that a number of these new homes will be affordable. Affordable homes offer a real opportunity for people from all backgrounds to put down roots in this city and to become the beating heart of this new community.

“Building a community goes beyond providing homes r which is why I was pleased to see that the City Centre South scheme will be integrating leisure and healthcare facilities into this new quarter as well.”

Cllr Richard Brown, the council's cabinet member for strategic finance and resources, said: “As this report outlines, this development is going to create new employment opportunities and provide new homes for people – creating a community that will thrive.  

“With additional homes and businesses we will, of course, also gain much-needed additional revenue. Local authority budgets are shrinking year on year, and we are battling hard to be able to continue to provide the services local people need and deserve so there is no doubt in my mind that this will help. Income from council tax and business rates is vital.

“A £450 million investment with £5.2 million required to ensure that there is the right mix of homes for all in our city centre makes financial sense for the council and good sense for residents.”