City investment soars to all-time-high £4.6bn

09 Oct 2007

Iain Lundy, Evening Times

Investment in Glasgow has reached an all-time high with more than £4.6billion being poured in to city projects in the past year. The figures are up 11% on last year - and an incredible 100% on 2001/2. Glasgow City Council said the statistics show massive confidence in the city and expect the trend to continue in the immediate future.

New housebuilding dominated the developments and there were massive new retail, hotel and leisure, business and industry projects. The figures, contained in the council's annual Development Activity Bulletin, show an 81% increase in completed development amounting to £540.2million. More than £2.4billion of developments are under construction, a rise of 4%, and £1.65bn of consented development has yet to start, an increase of 9%.

The biggest increase has been the 81% jump in retail development with major new projects including the Silverburn shopping centre in Pollok and the redevelopment of the St Enoch Centre. In the housing sector, £344.9m-worth of new developments were completed - 78% up on last year.

Hotel and leisure developments have increased by 68% - the total value has risen from less than £1m to £44.7m. Most of the new hotel developments in the pipeline are along the Clyde Waterfront or in the International Financial Services District. They include the 12,500-seater arena at the SECC which will be used as an outdoor concert venue and for the Commonwealth Games in 2014 if Glasgow wins.

The bulletin highlights the waterfront regeneration and the city centre as the main catalysts for the record investment.Development activity values for the waterfront area increased by 23% and the city centre by 3% over the past year.

The bulletin states: "Notwithstanding the impact of steadily rising interest rates over the past 12 months, the growth in overall development activity values has been sustained.

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