Business
East Renfrewshire Council Seeks Additional £1.9m for New Leisure Centre
An additional £1.9 million is required to complete the new leisure centre and theatre at Eastwood Park in East Renfrewshire. Originally budgeted at £55.7 million, the total cost has now risen to £58.5 million due to “market volatility and ongoing inflation for some construction materials,” as stated in a report prepared for councillors. The council is expected to vote on this funding request during a meeting scheduled for tomorrow, October 4, 2023.
The project initially faced significant financial challenges in late 2022, leading to a two-year delay and a scale-back of its original plans. At that time, rising inflation and fluctuating interest rates had escalated costs to approximately £67 million. In December 2023, the council agreed on a revised option costing £59.3 million, while efforts were made to implement cost-saving measures to bring it back within the previous budget.
According to officials, £900,000 can be secured from the East Renfrewshire Culture and Leisure Trust and sportscotland, but the additional funding is necessary to proceed. The report highlights that the project team has diligently worked over the past two years to identify savings while navigating unpredictable global economic conditions affecting construction costs.
Project Details and Timeline
The latest cost update revealed that the estimated expenses exceeded the budget outlined in the capital plan. Despite the project’s complexity, the team continued to refine its design, identifying further savings before completing the market testing process. They noted that limited options remain for reducing costs further, and it is unlikely the project can be delivered within the current budget of £56.6 million.
The increase in costs is primarily attributed to the current market conditions in Scotland, particularly the constrained national supply chain for mechanical and electrical components, along with persistent inflation affecting construction materials. Hub West Scotland Ltd has been appointed as the private sector development partner for this project, while BAM Construction will serve as the main contractor responsible for design and construction.
Should the council approve the funding request, they plan to finalize the contract terms for the project this month, ensuring that costs do not exceed £58.5 million. The report indicates that the previously agreed preferred option from December 2023 was initially estimated at £59.3 million but has since been adjusted due to construction inflation.
Facility Features and Community Impact
Plans for the new leisure centre and theatre involve demolishing the existing building and constructing a state-of-the-art facility. This new complex will feature an eight-lane, 25-meter swimming pool, a 17-meter training pool, and a four-court games hall. Additional amenities will include changing rooms, fitness and spin studios, and a café. The theatre will boast a 364-seat auditorium, a smaller studio theatre, dressing rooms, and bar and lounge areas.
Construction is slated to commence in November 2023, with completion anticipated by autumn 2027. The existing structure will be demolished once the new facility opens. Preliminary works have already begun to mitigate potential delays to the construction timeline.
The development of the Eastwood leisure and theatre facility has long been a goal for East Renfrewshire Council, having faced setbacks due to the COVID-19 pandemic and significant inflationary pressures. Despite these challenges, the council remains committed to delivering this project for residents and visitors.
In summary, the council’s approval of the additional funding will enable the project to progress to the next phase, marking a significant step toward fulfilling a long-standing community aspiration.
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