A Dundee business leader has expressed hope that the Dundee waterfront land problem can be solved as quickly as possible and without the need to go to court.
Alan Mitchell, chief executive of Dundee and Angus Chamber of Commerce, was commenting on the surprise announcement by the city council on Friday that it is preparing to take out compulsory purchase orders against the Hilton Hotel and the Gala Casino to make them quit their sites to allow the £1 billion redevelopment to go ahead.
Hilton and Gala are refusing to surrender their leases unless they are offered more money by the council, and there is understood to be a wide difference between what they are looking for and what is offered.
The businesses are understood to want to maintain a presence in central Dundee and be part of what is hoped to be the successful redevelopment of the waterfront, but finding them suitable alternative sites may be difficult.
In theory, their refusal to vacate the 1.26 hectares could stall the project, which is taking place in stages through to 2031. A more immediate date is 2014, when the centrepiece V&A museum is due to open.
Its site is west of the Hilton and Gala land but waterfront backers would not want the V&A launch affected by a land dispute.
In seeking the CPO now, the council is hoping to have time to resolve its differences with Hilton and Gala and proceed with the waterfront project as timetabled.
Mr Mitchell said the emergence of the dispute was unfortunate but not unusual in such matters, and commented: ”I hope it can be resolved as quickly as possible without the need to go to a CPO and involve the courts, because that can add time and costs to the process.
”The businesses that are involved in this matter like Hilton have a long history in Dundee and I am sure will want to have a long future in an improved central waterfront with all the features and attractions that will exist to benefit the economy.”
A Hilton spokesman said: ”Hilton Worldwide is committed to a future in Dundee and we are working closely with Dundee City Council regarding the waterfront project. Discussions are ongoing but we have not had any dialogue with the council regarding alternative sites in the city to relocate our hotel, nor have we received any compulsory purchase order from the council.
”We would like to assure our customers that it is business as usual at Hilton Dundee and we continue to welcome guests to the hotel.”
A spokeswoman for Gala said: ”We recognise the CPO process may take a minimum of 14 months. However, in the meantime we are in discussions with the local authority. Our priority is getting this situation settled as soon as possible.”
Dundee City Council’s development plan stipulates that new hotels should be in the city centre, and Hilton has for a long time been linked with the gap site in the Greenmarket area at the corner of South Marketgait and Nethergate.
There are other potential hotel sites in the central waterfront.