A MASSIVE regeneration of Leith Docks has been approved by the city council, despite concerns that it could have a major impact on the economic future of the city centre.
Outline planning permission was granted by the council's planning committee yesterday, following more than five hours of discussion.
Councillors have asked developers Forth Ports to aim at making the development carbon neutral, by committing to re
cycling all waste and using green schemes like wind turbines and even hydroelectric generators.
The proposals will see 15,000 new homes, as well as shops, offices, parks, schools and a cultural quarter, created on the dockland site over the next two decades.
The development includes an extra 16,000 square metres of retail space around Ocean Terminal.
The biggest planning application ever to come before the council, the proposals will see nine "urban villages" created, and in each case a detailed masterplan specifying the number of houses, as well as detailed designs and information on the supporting infrastructure, will have to be approved.
The first masterplan, for the area around Ocean Terminal dubbed The Hub, is expected to be published later this year.
Andrew Murphy, the managing director of John Lewis Edinburgh, warned that the retail element of the development could lead to further problems for the city centre.
Mr Murphy, who was also speaking in his capacity as chairman of the Essential Edinburgh Business Improvement District, which includes more than 600 local businesses, said: "Edinburgh city centre is the jam in our doughnut, but the doughnut is getting bigger – developments such as the Gyle, Fort Kinnaird, Ocean Terminal and Straiton have damaged the city centre.
"To allow the city to reclaim its place at the head of local retail means we must forego further developments on the periphery."
Forth Ports argued that it was not looking to create large department stores, and said the development would be more likely to create more customers for John Lewis.
The massive regeneration of the 350-acre site around Imperial, Victoria, Albert and Edinburgh docks will see the creation of 15,000 new homes, 25 per cent of which will be affordable houses. There will also be a new secondary school for 1000 pupils, three primary schools for more than 1300 pupils, and new classrooms at existing Catholic schools.
Local councillor Gordon Munro admitted he had reservations about the future details of the development
but, overall, he said it had his full support.
Graham Chapman, chairman of Leith Harbour and Newhaven Community Council, said: "This kind of development is long overdue in Leith, particularly the affordable housing, which is doubly welcome."
FORTH PORTS LAND VALUE WARNINGFORTH Ports said today that it expects the value of its land bank to reduce by up to 30 per cent by the end of the year, despite its ambitious plans for Leith Docks.
The Edinburgh-based firm said that the residential market in particular has experienced a further downturn this year, which is expected to lead to a 15-30 per cent decline in land values.
The firm has also reduced the valuation of its share in Ocean Terminal by £7.5 million.
Despite the tough property market conditions, Forth said that it remains "firm" that there will be no sales of development plots for the next few years. Overall revenues at Forth, which also operates seven UK ports including Leith, Grangemouth and Rosyth, increased by 21 per cent to £90.1m.
Pre-tax profits were down to £9m in the six months to June 30, compared to £12m in the same period last year.
Chief executive Charles Hammond said: "The security and breadth of our business positions us well for more challenging economic conditions."
He added: "We remain confident of further planning progress within our property portfolio as we develop long-term value in our property business."
