£26m Indigo Hotel deal for Blackpool reaches key stage as historic Post Office falls into further disrepair
Regeneration chiefs say they remain committed to transforming Blackpool's rundown former main post office into a luxury boutique hotel.
The £26m scheme to redevelop the former post office on Abingdon Street has been delayed but is supported by £8m of Levelling Up funding from the previous government.
It is due to be converted into an Indigo-branded hotel with agreements now in the process of being signed with developer Ashall Developments, which will pave the way for surveys to demonstrate if the project remains viable or not.
The Grade II listed building has been empty since 2007 and has since fallen into disrepair with many of the windows now broken and the iconic phone boxes at the front, which are also Grade II listed, also in a bad state of repair.
The group of eight cast iron telephone kiosks were designed in 1935 by Sir Giles Gilbert Scott. Recent anti-social behaviour at the site has included reports of youths climbing on the roof of the building.
A report to a meeting of the council's Tourism, Economy and Communities Scrutiny Committee says agreements for the sale of the building to Ashall Developments and a grant funding agreement between them and the council are close to being confirmed.
It adds there "continue to be detailed discussions" between the council and Ashall. Once the agreements are signed, it will enable access to the building so it can be surveyed.
The report says: "These surveys will inform both understanding what of the proposed renovation is possible and enable the production of a more accurate estimate of what the renovation would cost.
"The outcome of these surveys is therefore critical to informing the next stage of the scheme (RIBA Stage 4 design) which will follow and ultimately demonstrate viability of the scheme or not through the subsequent tender process.
"The project has therefore been delayed in terms of activity and expenditure but commitment to securing its delivery remains strong and a staged approach is being adopted as previously advised in order to minimise the risks."
Redevelopment includes building an extension with a roof top terrace on the former sorting office, and a three-storey rear extension after the fifth set of plans for the building were approved in September 2023.