Hammerson has settled its dispute with the leaseholder of a bar located on a site on the eastern fringes of the City of London where the developer is planning its major Bishops Place scheme.
RT Group Property Investments, a Hammerson-owned company, has reached an out of court agreement with Bandol Estates, the company headed by James Goff which occupies the Light Bar, ahead of a High Court case that was scheduled to start next Thursday.
Goff argued that Hammerson’s plans for the 4m sq ft Bishops Place scheme on Norton Folgate should include the Light Bar whereas Hammerson said that keeping the bar would affect the design of its scheme.
It also said that because Network Rail had a right to the Light Bar’s building in perpetuity for expansion of the track layout at Liverpool Street, it could ultimately be demolished.
The out-of court agreement will allow Bandol Estates to remain in occupation of the Light Bar at 233 Shoreditch High Street and the parties are in discussion regarding how Hammerson might be able to support Bandol Estates in finding an alternative location for the Light Bar business in the Shoreditch area.
This will enable Hammerson to progress its regeneration proposals for the Bishops Place site.
Martin Jepson, Hammerson’s managing director, said: ‘We are pleased that we have reached a mutual agreement that seeks to find a new location for the business.
'We recognise that Bandol Estates runs a popular venue and the agreement we have reached will enable it to continue to operate from its current location for the immediate futur.
‘Both businesses are important stakeholders in the area and the resolution demonstrates commitment from both sides towards continued regeneration benefits for Hackney.
'Hammerson remains committed to developing Bishops Place and the agreement enables us to continue our proposals for this important regeneration project.’
James Goff, director at Bandol Estates said: ‘We are pleased that in the immediate future The Light Bar and its 50 loyal staff will continue to operate from the current location and we, alongside Hammerson, have some time to find a solution to continuing the business going forward.’
In August Hackney Council deferred a decision on the Foster & Partners-designed scheme to allow Hammerson time to see if the bar could be incorporated into the plans.