Update on the
Rhos Harbour Bistro site:
In November 2010, as a result of Court action by our solicitors, CDS
recovered control of the Rhos Harbour Bistro. Subsequent visual
inspection of the building and associated services concluded that the
building was not in a fit state to let and that a structural and ground
condition survey was required to inform an options appraisal. The results
of the subsequent survey results have guided officers to consider three
possible options.
BACKGROUND INFORMATION The buildings on Rhos Point have all been subject to fully repairing leases
and therefore maintenance has been the responsibility of the tenants.
However, with the recovery of Rhos Bistro and subsequent survey work it
is evident the useful life of the structures may be in sight and an
opportunity to consider a regeneration project for Rhos on Sea is timely.
The attached list of remedial works identified by consulting structural
engineers Evans Wolfenden gives a simple breakdown of essential items
to be addressed.
The implementation of the Colwyn Bay waterfront project has raised the
profile of our seaboard infrastructure and therefore improvements to Rhos
on Sea would compliment the planned promenade upgrade which
effectively terminate adjacent to the Cayley on the Rhos sea front.
In recent months the Harbour Office have commissioned a design
exercise specifically looking at the feasibility of creating a more formal
harbour area by building on the existing sea defences. This initiative,
when combined with proposals to re-build the Rhos Point area, raises the
potential for a wider regeneration initiative albeit with associated bigger
budget requirements.
The options for consideration are:
(
a) Refurbishment: The Bistro remains a business opportunity with high potential to attract a
quality tenant, most likely, continuing to operate as a catering
establishment. However, any lease offer would be dependant on
refurbishment and would therefore require capital investment subject to a
robust business case offering acceptable financial projections.
Initial estimates for refurbishment of the Bistro building (excluding
mechanical and electrical main services upgrade which, as a rule of
thumb, represent approximately 30% of a refurbishment budget) is
£85,000.
Rhos Point has three kiosks and a Tower which are let for concessions
which are also in need of refurbishment. For the purposes of an options
appraisal consideration is given to a complete Rhos Point refurbishment
(including cosmetic improvements to the seaward retaining wall). This
inclusive work is estimated at £158,500 [not including any provisional
sums e.g. asbestos removal] therefore a working budget of £250,000 -
£300,000 for the Rhos Point site would not be unreasonable. Refurbishment offers a relatively quick solution to restoring the status quo
as we have a substantial waiting list of willing tenants wishing to operate a
catering facility in Rhos. However, crucial to adopting a refurbishment
option is a detailed financial residual appraisal to establish, in simple
terms, whether money invested in refurbishment can be justified when
taking into account the property valuation against rental forecasts. CDS
have instructed our Asset Manager to provide an analysis of the potential
rental income and final asset valuation of the proposed refurbishment
option.
(b) New BuildIn isolation, Rhos Bistro would not be a viable new build project. However,
a wider proposal to regenerate the Rhos Point area to include the
waterfront, park, adjacent highway infrastructure and car parking is a
consideration. An initial ‘concept’ visualises a two storey building on the
Point accommodating a restaurant and retail units (replacing the existing
concessions). The Park would be improved including high quality toilet
facilities. The highway infrastructure would be reconfigured to alleviate the
current ‘pinch’ points and improve local parking. No budget has yet been
estimated however it is envisaged the scheme would require a
private/public partnership arrangement initiated by seeking commercial
‘expressions of interest’.
(b) DemolitionThis option is proposed as an ‘interim’ scheme designed to visually
improve the site whilst development options are under consideration. The
buildings would be removed, the immediate area landscaped to provide a
local amenity. The advantage of this proposal is limited to a quick solution
whilst more long term options are developed. An indicative budget for this
option is estimated at £50,000.
Council reports:
http://modgoveng.conwy.gov.uk/published/c00000452/m00002879/ai00029499/$rhospointdevelopmentoptionscommunityscrutiny.doc.pdf
http://modgoveng.conwy.gov.uk/Published/C00000452/M00002879/AI00029499/Wolfendenestimatedcosts.pdf
