TALKS have stalled over plans for a new hotel on the New North Quay with the developer accusing the Harbours and Airport Committee of a U-turn.
Hotelier Mike Barnes is still hopeful of building the 51-room budget hotel but says that the committee are ‘in the wrong universe’.
He says Harbours had agreed to take a percentage of any profits as rent rather than a flat rate because he was taking the risk and investing £1 million in the project.
But negotiations stalled after planning permission was given and the committee then asked for a set rent with index-linked increases.
Harbours president Senator Len Norman said the committee had a duty to ensure that they achieved the best possible return on the land.
Article posted on 20th August, 2004 - 12.00am
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