Report
For UK Coal Widdrington Regeneration Partnership
April 2009
TABLE OF CONTENTS
1 Background 1.1 Location of Blue Sky Forest 1.2 Project History 1.3 The Blue Sky Forest Concept 1.4 Local Economic Conditions
2 Tourism policy and tourism trends 2.1 Tourism Policy 2.2 Basic Tourism Offer 2.3 Visitor Trends and Spend
3 Original Blue Sky Forest proposals - critique 3.1 Overview 3.2 Indoor Snow Ski Centre 3.3 Adventure Centre 3.4 Holiday village 3.5 Hotel Resort with Golf Courses 3.6 Observation Tower
4 Revised proposals 4.1 Outdoor Dry Ski Slope 4.2 Adventure Centre 4.3 Holiday Village 4.4 Championship Golf Centre 4.5 Children’s Attraction 4.6 Water Sports 4.7 Driving Experience 4.8 County Events Centre 4.9 Equestrian Centre 4.10 Retail and Service Centre
5 Other development 5.1 Centre for Renewable Energy 5.2 Biomass Research and Demonstration Facility 5.3 Com-Vert Green Composting 5.4 Vertical Aeroponic Growing Systems 5.5 Peel Energy 5.6 Rail Linked Employment Site 5.7 Miscellaneous Development
6 The Masterplan
7 Implementation 7.1 Planning / New Unitary / LDF Core Strategy / RSS Revisions 7.2 The Delivery Model – UK Coal 7.3 Hierarchy of Projects and Project Phasing 7.4 Next Steps 7.5 Role of the WRP 7.6 Restoration as an Opportunity 7.7 Accessibility
Appendices
1 Original BSF proposals – critique of KPMG 2004 proposals
1 Background
Wardell Armstrong LLP with Bone Wells Urbecon Ltd are commissioned by UK Coal to review and update an original 2004 ambitious vision by KPMG for the creation of a new tourism and leisure destination known as ‘Blue Sky Forest’ in Northumberland.
The Widdrington Regeneration Partnership has the strong ambition of generating significant economic and community benefits for the local area and the wider region.
1.1 Location of Blue Sky Forest
Blue Sky Forest is located in an extensive area of open-cast coal mines located in the Northumberland County divisions of Chevington and Ulgham. These areas comprise several villages including Widdrington Village, Stobswood, Widdrington Station, Ulgham and Chevington encompassing the wards of Red Row, Hadston and Broom Hill in Northumberland (map of site location – see Figure 1-1). The sites identified for development are the Stobswood and Maiden’s Hall / Steadsburn surface mines. These sites cover over 600 hectares each and include two rail connected disposal points knows as Butterwell DP and Widdrington DP. This represents one of the largest brownfield parcels of land available for development in the North East England.
The Maidens Hall and Steadsburn complex started over 28 years ago with the excavation of the West Chevington site. A common overburden stocking area was subsequently utilised by the Colliersdene, Maidens Hall, Maidens Hall Extension and Steadsburn sites. Bad weather and planning agreements delayed the diversion of the highway and coaling at Steadsburn eventually started in March 2008.
The sites are owned by UK Coal and the proposed restoration programme is to return the land to a mixture of agriculture, woodland and water based uses incorporating a degree of public access via a network of footpaths.
Stobswood at the latest estimate will be available for development by Autumn 2010, some two years prior to the availability of Maiden’s Hall. This presents an opportunity to phase the development of Blue Sky Forest.
General road accessibility to the sites is good for current volumes of traffic although the main access road, the A1, does suffer from some peak time congestion. Road journeys from central Newcastle typically take between 30 and 40 minutes and Newcastle Airport is within 20 minutes drive. Rail times from Newcastle to Widdrington Station are 30 minutes. Road travel times could be reduced if ‘dual- carriaging’ of the remaining single-carriageway of the A1 is undertaken as planned.
1 Figure 1-1 Site location
1.2 Project History
The KPMG 2004 Report presented a bold vision for the creation of the Blue Sky Forest. This included an ambition to:
••• create a mix of tourism and leisure attractions and facilities to attract visitors on a regional scale; ••• generate significant additional local and regional economic and social benefits; ••• enable the diversification of the area’s rural economy; ••• promote environmental sustainability; ••• encourage operationally and financially self-sustaining attractions, facilities and services. ••• offer the employment potential of over 800 direct full time equivalent jobs, and support a further 245 jobs indirectly.
The vision included an indoor ski centre of national scale, an adventure centre, a hotel resort, holiday village, observation tower and ancillary retail and leisure facilities.
Since 2004 little perceived progress was made to develop and deliver the vision. In 2007 a re-formed Widdrington Regeneration Partnership encompassed the support of Castle Morpeth Borough Council and Northumberland County Council to take the project forward, particularly trying within the review process to harness realistic private sector interests.
2 1.3 The Blue Sky Forest Concept
The vision for Blue Sky Forest (BSF) remains that of creating a new year-round major tourism and leisure destination that includes a range of regionally significant indoor and outdoor attractions, facilities and activities as part of phased development programme.
The mix of components will be sufficient to appeal to both local and regional residents and existing overnight tourists to the region as well as generating additional visitors, to the region. Furthermore, it will enable the diversification of the area’s rural economy, promote environmental sustainability and ensure the development of commercially led tourism and leisure attractions and facilities in the region.
The Blue Sky Forest concept was established following a rigorous appraisal of alternative tourism and leisure land-use options. Each option has now been further evaluated against a range of criteria, including market, commercial criteria and strategic fit with the objectives and priorities of relevant local, sub-regional and regional public sector organisations. This has arrived at a preferred concept - a masterplan.
Although tourism and leisure development forms the core of the proposed land uses in BSF, the scale of the sites is sufficient to accommodate other uses, complementary to the leisure activities. Proposals for these uses, including renewable energy developments, are described in this report.
1.4 Local Economic Conditions
To show the local economic context for Blue Sky Forest a comparative appraisal has been made for some different economic parameters. For this purpose the following have been defined:
• immediate locality: Chevington and Ulgham Wards • surrounding District: Castle Morpeth • neighbouring Districts: Alnwick; Blyth Valley; Wansbeck • sub-region: Northumberland County • region: North East
Chevington and Ulgham Wards encompass the Widdrington villages and comprise the immediate Blue Sky Forest area – see Figure 1-2. The local Districts are shown in Figure 1-3.
3 Figure 1-2 Chevington and Ulgham Wards and Blue Sky Forest site
The following section is an analysis of the employment status and trends in the wards of Chevington and Ulgham. The analysis is extended to the comparator areas of Castle Morpeth, Alnwick, Blyth Valley and Wansbeck. The last three of these districts are included in this section not just as comparators but because of the employment benefits they could derive with the implementation of the Blue Sky Forest project. Data from NOMIS and from the 2001 Census are used for the analysis.
Figure 1-3 Blue Sky Forest local districts
4 Socio-economic assessment
In 2001, Castle Morpeth had a population of 49,001, Chevington 3,223 and Ulgham 2,909. Table 1-1 shows this distribution of population and economic activity for the Blue Sky Forest parishes and the comparison areas. As can be seen, the distribution of the population by economic activity is very similar for Castle Morpeth and Ulgham, with around two thirds being economically active. The same figure is much lower for Chevington: 44.8%.
Table 1-1 Total population and economic activity structure – study area and comparators
Castle Blyth North Chevington Ulgham Alnwick Wansbeck England Morpeth Valley East
Total population 3,223 2,909 49,001 31,029 59,719 61,158 2,515,442 49,138,831 Economically 44.8 62.7 61.7 65.1 65.9 62.2 61.3 66.9 active Employees 35.3 49.6 47.6 49.2 54.7 51.4 49.2 52.6
Self-employed 8.2 12.8 18.4 21.4 9.5 8.8 10.5 16.6
Unemployed 4.8 5.1 2.8 3.7 4.4 4.8 4.5 3.3 Economically 55.2 37.3 38.3 34.9 34.1 37.8 38.7 33.1 inactive Source: ONS 2001 Census; the last available verified source The economic activity rate for the district of Castle Morpeth is similar to the regional average but well below the England mean (66.9%). Rates of unemployment in the North East are higher than in England: 4.5% against 3.3%. Although Castle Morpeth is performing well (2.8% unemployed among the economically active population), the wards of Chevington and Ulgham show slightly more negative figures: respectively 4.8% and 5.1%.
The percentage of self-employed people is higher in Castle Morpeth than in the rest of England and in the North East as a whole. Chevington and Ulgham have much lower rates of self-employment lower than the district mean, suggesting a less favourable employment structure.
Employment trends and sectoral distribution ABI employment data provides a general indication of employment structure and trends in the areas under analysis, subject to limitations in the sample based data, including discontinuity in the time series. Trends are mixed as shown in 1-ure 3. The district of Castle Morpeth has performed well when compared to Northumberland. Between 1998 and 2006 employment increased by 10.5% compared to only 1.6% for Northumberland county. It matched the regional average, the North East Region growing at: 10.4% over the same period. Castle Morpeth has thus performed better than the surrounding districts. Alnwick’s growth was considerably less (3.4%), while employment actually declined in Blyth Valley (-2.7%) and Wansbeck (-4.2%). This shows how Blue Sky Forest could act as an employment opportunity for the surrounding districts.
The employment trends for Chevington and Ulgham are very different. While jobs increased in the first ward by 22.3%, with a net rise in the number of employed people of about 250 the same figure for Ulgham is negative. The employment level in Ulgham decreased by 36% between 1998 and 2006,a net loss of some 180 employed people. Figure 1-4 summarizes the main trends.
5 Figure 1-4 Employment change in areas of interest for Blue Sky Forest project.
Source: Annual Business Inquiry (ABI) – NOMIS..
Table 1-2 shows how employment is distributed across sectors for the Chevington and Ulgham wards, the district of Castle Morpeth and England as a whole. The energy and water sector is not surprisingly employing a significantly higher percentage of population in Ulgham and Chevington than in the rest of England. In 2006, 13.7% was employed in this sector against a national mean equal to 0.5%. Although significant, this figure has shown a decline: there were 270 people working in the Energy and Industrial sector in 1998 against 234 in 2006.
Table 1-2 Sectoral employment and change 1998-2006 (1)
Chevington & Ulgham Castle Morpeth England Sector no. no. no. % % % employees employees employees
Agriculture n.a. 0.1 300 1.3 177,000 0.8
Energy and water 250 13.7 350 1.4 113,000 0.5 Manufacturing 50 3.8 950 4.0 2,481,000 10.9 Construction 50 3.0 1,850 7.8 1,056,000 4.6
Distrib,. hotels & restaurants 100 6.4 3,800 15.9 5,385,000 23.7
Transport & communications <50 1.1 450 1.9 1,378,000 6.1 Banking, finance & insurance, etc <50 0.6 1,450 6.0 4,989,000 21.9 Public administration, education & health 1,150 68.8 13,650 57.1 5,989,000 26.3 Other services 50 2.6 1,100 4.5 1,197,000 5.3 Total 1,700 100.0 23,850 100.0 22,767,000 100.0 Source: ABI – NOMIS. All employment figures rounded to nearest 50. Also significant the difference between the percentage of employment in the public administration, education and health sector between the area under analysis and England as a whole. In 2006, 1,176 people were employed in this sector in Ulgham and Chevington, representing the 68.8% of the employed population against a district mean of 57.1% and a national mean of 26.3%. The surprisingly high percentage of population working in this sector is imputable to Chevington rather than Ulgham.
6 Table 1 -3 Demographic statistics for Blue Sky Forest project, 2001
All Persons - All Persons - Aged Total All Persons All Persons All Persons - Aged 45 - 64 65 and Over Population - Aged 0 -15 - Aged 16 - Aged 30 -44 (Males), 45 - 59 (Males), 60 and (Count) (%) 29 (%) (%) (Females) (%) Over (Females) (%) Ward Chevington 3,225 n.a. n.a. n.a. n.a. n.a. Ulgham 2,909 n.a. n.a. n.a. n.a. n.a. Local Authority Alnwick 31,029 16.9 12.9 19.9 26.4 23.9 Blyth Valley 81,265 19 16.7 21.2 25 18.2 Castle Morpeth 49,001 17.1 14.1 19.2 26.4 23.1 Wansbeck 61,138 18.2 15.9 21.6 23.8 20.4 Region North East 2,515,442 18.6 18 21.1 22.8 19.5 Country England 49,138,831 19.2 18.1 22.4 21.7 18.6
The reliance on the public sector in the area is pronounced. Castle Morpeth (57.1%), Wansbeck (47.5%) and Durham (46.7%) head the list of public-sector dependent districts in the UK. State dependency is further exacerbated by the thousands of people on benefits in these towns.
In terms of earnings, Castle Morpeth is well below the national average: the average weekly gross pay is £370 against £460.3 for England as a whole. The figure is also slightly lower than the North East mean (£388) 1.
Demographic profile
The urban residential population of the North East is roughly divided between Tyneside-Wearside (Tyne and Wear) and Teeside - 1,650,000 and 875,000 respectively. 65% of Tyneside’s population live in urban areas - 15% in South Northumberland and Tyne Valley and 20% in the North Durham area. Almost half of Teeside’s population live in and around Teeside itself. For the region and local areas around BSF Table 1-3 shows that it also has a relatively older population than nationally, which suggests that it is less dynamic.
Source: 2001 census.
1 Annual Survey of Hours and Earnings (ASHE), 2007
7 2 Regional tourism trends and policy
2.1 Overview
While the main focus of this study is upon the development of a viable set of attractions in the open cast mines, it is important to review the tourism policy and strategy context. How would BSF fit into the existing or emerging tourism strategy, functionally or spatially? Would it compete with or be complementary to other tourism projects in the region, and by extension could it justify support from the public sector? As a corollary, there is a need to consider visitor numbers, since an increase in these and related expenditure is the usual indicator by which the success of a tourism strategy is measured. Are these trends reflecting the current policy objectives, i.e. is the policy working? If visitor numbers are static could BSF provide a means to increase them?
2.2 Visitor Profile, Trends, and Spend
Visitor profile
In terms of markets, the Northumberland Area Tourism Plan (NATP) identifies the following as the main tourist market segments for the region:
• key socio-economic markets - “older or retired couples (45+) from low and middle management positions up to wealthy professionals together and families looking of an alternative to busy resort and city destinations.”. • UK target market - drawn mainly from Yorkshire, Lancashire and Chester • international market - The Netherlands, Norway and Germany
Visit trends
The success of any tourist attraction inevitably depends on the number of visitors the attraction can draw and how much visitors will spend relative to the capital and maintenance costs of the attraction. Market research on visitor trends for the component attractions for the Blue Sky offer is beyond the scope of this report, although useful estimates were prepared in the KPMG study. However, it would be useful at this stage to present an overall picture of visitor trends and spend to provide a general context in which to place Blue Sky.
A survey by Natural England 2 looks at the profiles of visitor and visitor trips in England in 2005 and gives an overall picture of tourism numbers, activities and spend (Tables 2-1 and 2-2)
Table 2-1 Leisure visits in Northumberland 2005 Day-return trip from home. No lower time limit or minimum distance.
2005 Volume 2005 Value (millions) (millions) Inland town/city 2,624 74.1 Seaside town/city 174 4.7 Countryside 699 9.4 Seaside Coast 72 1.4 National Park 35 0.4 Open Access Land 19 0.2 All Visits 3,569 89.6 Source: England Leisure Visits – Report of Survey 2005, Natural England, February 2007
8
Table 2-2 Tourism visits to Northumberland 2005 Day-return trip from home for 3+ hours or more and not taken regularly.
2005 Volume 2005 Value (millions) (millions) Inland town/city 674 31.2 Seaside town/city 47 1.7 Countryside 136 4.0 Seaside Coast 15 0.5 National Park 10 0.2 Open Access Land 5 0.1 All Visits 872 37.4 Source: England Leisure Visits – Report of Survey 2005, Natural England, February 2007
Trips taken in England are mainly to inland towns and cities but the second most popular destination is the countryside. The North East has only one city, Newcastle, with a tourism offer whilst the majority of the region is countryside particularly the sub-region of Northumberland which is predominantly national park. However, its national share of visits is small compared to other national parks:
Table 2-3 Visitors per National Park 2005 2005 Volume National Park (millions)
The Lake District 10.5
The Peak District 10.1
North York Moors 7.3
Dartmoor 4.3 New Forest 4.3 The Yorkshire Dales 3.0 Northumberland 1.2 Exmoor 0.8 The Broads 0.7 All Parks 42.3 Source: England Leisure Visits – Report of Survey 2005, Natural England, February 2007
Visitor catchment
The main market for tourism and leisure activities is the local market. Interestingly, although Edinburgh is within a 3 hour drive away (see Figure 2-1), Scottish visitors do not seem to register among tourist visitor breakdown.
Length of stay
The length of stay is very dependent on the season, the type of accommodation in which visitors stay and their reasons for visiting/tourist offer available. i. The tourist season Figure 2-2 shows the profile of visit days in Northumberland in 2006. The warmer months sees the greater number of days spent in the area amongst all visitor groups with SFR, (staying with friends and family), peaking in school and festive holidays i.e. Christmas and New Year, half-terms and summer break. There is a significant drop in tourist numbers (except SFR) between October and April.
Such a profile demonstrates the sensitivity the local tourism market has to good weather and the need to provide contingencies for poor weather not only in the cooler months but also for cooler, wetter summers.
9 Figure 2-1 Drive time catchments from BSF
10 Figure 2-2 Pattern of visitor days 2006
Source: Northumberland Tourism Volume and Value of Tourism 2006, ONE North East, August 2006
ii Length of stay and spend The tourist market is distinctly divided into a day visitor market and an overnight (1+ nights) visitor market with their own particular profiles of behaviour. Key figures emerging from the Northumberland STEAM report for 2006 show subtle declines in both day and overnight visitor numbers. However, there is also a subtle increase in the length of time overnight visitors spend in the area alongside an increase in direct revenue earned as shown below.
Table 2-4 Annual Northumberland visitor trends: days and expenditure
Source: Northumberland Tourism Volume and Value of Tourism 2006, ONE North East, August 2006
11 Undoubtedly, much of this increase in revenue is additional spend by the extended stay of the overnight visitor market but some could also be from day visitors who, though visiting less could also be spending more.
The level of spend also varies according to the type of accommodation visitors stay in. Overnight visitors’ daily spend on average is much more than day visitors, £37.51 and £18.25 respectively. Of those overnight visitors, those staying in serviced accommodation tend to spend more during their visit as opposed to those staying in non-serviced accommodation, £58.23 and £37.38 respectively. In addition, of overnight visitors, two-thirds stay in non-serviced accommodation. It is useful to note that the sub-region has a large amount of non-serviced accommodation i.e. caravan parks, holiday homes etc.
Table 2-5 Spend per visitor/accommodation, 2006
Source: Northumberland Tourism Volume and Value of Tourism 2006, ONE North East, August 2006
The value of tourism spend in Northumberland in 2006 totalled £621m. Expenditure is spread across the two visitor groups as shown in Figure 2-3:
Figure 2-3 Visitor spend 2006
Source: Northumberland Tourism Volume and Value of Tourism 2006, ONE North East, August 2006
The largest area of spend was on food and drink and the quality of the food and drink offer was cited in the policies reviewed above as being of low or poor quality. An improvement in this offer could experience substantial gains in spend. iii. Attractions and activities
As discussed above, Northumberland’s tourism offer is made up of rural and heritage attractions as reflected in the table below which breaks down activities for visitors to Northumberland surveyed in 2005- 2006 as part of a wider North East visitor survey for the same period.
12 Table 2-6 Activity breakdown 2005-2006 Activity Overnight visitors, % Day Visitors, % Eating Out 29 40 Shopping 40 38 Pubs/Nightclubs 29 13 General sightseeing 42 20 Visiting museums, art galleries, 33 26 heritage centres etc The beach 21 15 Visiting heritage “sites” – castles, 29 12 monuments, churches Visiting parks/gardens 19 19 Visiting market towns/villages 29 15 Walking 2+ miles 22 13 Walking 2> miles 17 6 Source: Northumberland Visitor Survey Report –Tourism UK Ltd - March 2007
Significantly, the list above demonstrates market gaps in evening entertainment and sports activities and virtually all of the offer is dependent on good weather with little else to do in poor weather, particularly for children and young adults. The nearest all-weather, extended-hours entertainment offer is the Metro Centre in Gateshead, Tyne and Wear, consisting of retail, restaurants and bars, a multiplex cinema and, until recently, Metroland - fairground rides aimed at the lower end of the consumer market and which ceased trading in May 2008.
Table 2-7 shows a breakdown of attractions visited between 2005-2006 as reported by the Northumberland Area Tourism Partnership.
Table 2-7 Tourist visits/attractions 2005-2006 Attraction Overnight Visitors Day Visitor Admission % % Free/Charge Visited Intending Visited Intending Alnwick Gardens 13 4 6 5 Charge Alnwick Castle 9 7 1 2 Charge Bamburgh Castle 7 5 1 1 Charge Hadrian’s Wall 6 11 2 3 Free Lindisfarne 5 4 2 0 Charge to Priory Farne Islands 4 2 0 0 Charge Cragside 4 1 1 1 Charge Vindolanda 4 2 1 1 Charge Hexham 3 2 1 2 Free Beach 3 1 3 1 Free Source: Northumberland Visitor Survey Report –Tourism UK Ltd - March 2007
Again, the offer is of traditional rural and heritage offers and all dependent on good weather.
Summary
When the tourism offer is combined with the gaps and shortages identified in the various tourism strategies it becomes evident that there is much scope to up-grade the offer and capture further visitor spend. A bold approach is needed to improve a currently very traditional and limited provision to create a more substantial tourism industry, which would reduce the reliance on public sector employment and diversify the economy of Northumberland and the North East as a whole.
13 2.3 The Policy Background
A detailed review of such matters is not in the remit of this study, but it is helpful to consider in outline the regional and sub-regional local policy context. For simplicity, the relationship diagram below summaries the fit of these various policies and their associated partnerships (Figure 2-4).
One North East: Regional Economic Strategy (RES)
The North East is a small region, relatively peripheral in both the UK and the EU, and still affected by the legacy of historic industrial decline. The RES seeks to redress these disadvantages and negative perceptions through a strategy to:
• Create, attract and retain greater numbers of entrepreneurs, skilled workers and inward investment; • Improve educational attainment, skills levels, economic inclusion and aspiration within the region; • Significantly increase visitor numbers to the region, and therefore visitor spend.
Fig 2-4 Relationship of regional, sub-regional and local tourism policies
Regional Sub - Regional Local
One North East : Regional Economic Strategy Castle 2006 – 2010 Morpeth DC
North East England Northumberland Strategic P’shp : Widdrington Tourism Strategy Cultural & Tourism Strategy 2003 Regen. P’shp 2005 – 2010(Feb 2005)
NSP : Cultural & Blue Sky Tourism Action Plan Forest 2008-2011 (Feb 2008)
It aims to achieve these objectives through various programmes including a major regional re-imaging and branding campaign, “Passionate People, Passionate Places”, to shift current public perception of the region away from manufacturing decline to one of a dynamic society. Triggered by the combination of growth in innovation and creativity in Newcastle’s science offer alongside Gateshead’s arts and cultural offer, the North East is steadily becoming known as an increasingly competitive and attractive place to live, work and relax.
The role of tourism
Since its natural and cultural assets form the foundation of the region’s re-branding image the RES seeks to leverage tourism to achieve these goals by developing its natural, heritage, cultural and creative assets to attract tourism visitors, businesses and investors and establish the region as an international tourist and business destination.
14 It acknowledges that tourism supports 10% of the region’s jobs and can potentially increase its market share of England’s tourism spend, currently at 4%, through actions that include:
• using effective marketing to develop the appeal of the strongest tourism experiences underpinned by the Regional Image Campaign; • improving the quality and quantity of visitor accommodation, and generally upgrading the quality of the experience of both business and leisure visitors.
Prominent among the region’s natural and cultural assets and their economic contribution are:
• Northumberland National Park, attracting 1.4 million visitors a year, generating £30 million annually. • 50,000 jobs related to the environment, of which an estimated 27,000 are directly dependent on natural and cultural assets. • The Hadrian’s Wall Corridor, currently attracting overnight visitors representing 6.27 million nights. Two million trips per year are made, worth £105 million to the local economy and the Wall attracts 1.5 million day trippers (to a value of £29 million) and supports 3,700 directly related jobs.
North East England’s Tourism Strategy
Following on from the RES’s call to promote tourism as a key sector for employment and investment, the regional tourism strategy includes the following objectives:
• attract more domestic and international tourists • increase day visitor and tourist spend • develop a year-round tourism offer (counter seasonality) • increase employment in tourism • accelerate the rate of investment in the tourist product • improve the quality of the tourism product • improve levels of visitor satisfaction • enhance and conserve the region’s natural, heritage and cultural assets
The Strategy attempts to deliver these objectives through Area Tourism Partnerships 3 which through their own individual Action Plans would seek to identify new magnet attractions where there is perceived to be a gap in provision . The Strategy identifies considerable opportunities to expand the range of leisure and sporting activities, leveraging investment from the private sector “activity” and “accommodation” providers working in partnership to develop packages of offers. This could involve PPIs, the capital and revenue investment of which will be aligned to Sub-regional Partnership Investment Plans.
Northumberland Strategic Partnership’s Cultural and Tourism Strategy
At the sub-regional level, the Northumberland Strategic Partnership seeks to support its tourism sector given its position as the “fastest growing major industry”. In doing so, it also recognises its weakness due in part to a relatively poor food and retail offer and the problem of seasonality. Northumberland Tourism Ltd (NTL) was established in 2006 to tackle such issues and develop the tourism offer through the Area Tourism Management Plan (ATMP) which seeks to “establish the county as the premier rural destination in the UK, balancing the needs and expectations of the international and UK visitor, businesses and communities”. NTL aims to do this by, among others, encouraging the development of new, qualitative visitor/tourism products, promoting more sport-related recreational activities and developing a greater festivals and events offer.
The basic tourism offer
The Northumberland ATMP highlights that fact that the main tourist attractions are traditional rural, heritage and low-key outdoor pursuits
3 One each for Tyne & Wear, Durham, Northumberland, and Teesside.
15 Key attractions in Northumberland include Alnwick Castle and gardens, Hadrian’s Wall, Kielder Water and Northumberland National Park. The offer is also highly seasonal, lacks attractions for children, particularly in wet weather, and lacks a good evening entertainment offer.
The Plan draws up areas of activities to develop the tourism offer which includes the continued development of new products and sustained investment particularly where there is a gap in provision “in ways that fulfils the changing expectations of the market”. All strategies make much of this particular point yet in the Plan, which operates a three-grade rating, such an initiative is only given a Bronze rating. It gives Gold rating to improving existing “magnet” attractions, which are rural and heritage-related, and attempts to use these to attract visitors to other activities and attractions in the area.
Current priorities
Reflecting the arguments in the ATMP, the current priorities or ‘Keystones’ are: • Hadrians Wall • Kielder Water and Forest • Alnwick Gardens, and the • Woodhorn Museum, at Lynemouth.
These may be said to reflect priorities in terms of public sector support rather than tourism attraction since it is unlikely that Woodhorn would attract much more than speciality interest, and is probably best viewed as a cultural/educational facility whose visitors are mainly local school children. Additionally, the other priorities, while certainly important and exploiting the county’s natural assets, leave significant spatial and functional gaps, including hotel accommodation, wet weather and evening entertainment as noted above, and overcoming seasonality.
16 3 Original Blue Sky Forest proposals - critique
The brief required a critique of the 2004 KPMG feasibility report. This is provided as Appendix One, in order not to misrepresent the flow of the report.
17 4 Revised proposals
Carrying forward the adventure centre attraction discussed in Section 4.3 of this report assesses alternative attractions to those not deemed viable, and which were not considered in the original KPMG report. This took a more focussed account of the sports and recreation potential of the two sites, the events market, and the day and weekend visit potential of the Tyne and Wear residential market. Much of this research has been undertaken by Wardell Armstrong, complementing the work undertaken by BWA.
4.1 Outdoor Ski Slopes
In Appendix One Section 3.2.1, the analysis of an indoor snow-ski slope led to the conclusion that such an operation would be financially unviable due to the costs involved and the catchment area of the day leisure market required to ensure sufficient consumer spend. The “ski” concept, however, could have a role in the BSF project but in the more cost effective form of an out-door dry-ski slope.
Characteristics: The dimensions of slopes vary a lot: the length of slopes ranges between 20 metres for nursery slopes up to 180-200 metres for main slopes. The height varies as well ranging from 10 metres up to 30. There are also sometimes requirements for moguls and slaloms to be included in their design.
Size: The land required for outdoor sky slopes is difficult to gauge from inquiries since many are integrated with other attractions and facilities. A large facility might take up 2 has, excluding parking and any ancillary uses. The following is based on a large outdoor ski slope which could be developed on the Maiden Hall site. It would cater for tobogganing and snow tubing as well as skiing, and include nursery slopes, ski-lift etc. Dimensions: Snowsports, 10,000 m2; lodge area, 2,100 m2; length 180m, height 35 m, gradient 33% Car parking: 800 cars Average slope Capacity: 300+ people Users: 150,000-200,000 p.a. Seasonality: Peak: December-March, low season May-August Employment: 10-15 FT, 35-50 PT Capital cost: £5-10 million (including the slope/hill)
Operators can be classified as either non-profit/council or private. A significant majority are run by local Councils and charities operating only locally, others as local clubs or run by one of the military services. This suggests that the profitability of this business as a stand-alone activity is questionable. Indeed, those companies that are not voluntary or publicly funded organisations are likely to be integrated to other leisure and sport facilities.
Competition: The only other dry-ski slopes in the region are at Whickham on the Tyne and within the Silksworth Sports Complex in Sunderland. Neither is very large.
Potential interest in BSF To gauge the level of interest from dry-ski slope operators on the BSF project, 47 national operators were identified using the list provided by the British Ski Slopes Operators Association and contacted between May and July 2008. 14 organisations out of the 47, some non-profit some private, who were contacted expressed an interest, but only limited subsequent feedback has been received (see Appendix 3).
However, although these findings are, on the face of it, somewhat negative, further research indicates that the prospects for an outdoor ski slope within Blue Sky Forest are more promising. First, it is evident from discussions with several operators that a serious drawback of many existing slopes is lack of variety in their offer, i.e. a good number of alternatives to straight up and down slopes. This can be corrected at
18 BSF, with the capacity to construct an unrivalled comprehensive facility, also one that is very large 4. Second, the recent introduction of several new and much better artificial surfaces have increased the relative attraction of dry ski slopes. Third, the facility would not be an isolated attraction but complemented by other attractions, particularly those within the adventure centre. Hence although the possibility of operation by a local ski-club or other social organisation should not be ruled out it is considered that it could well be a profitable investment. This type of facility may best be developed and operated by local investors and initial inquiries made by the consultants suggest that there is a good prospect for a north east company or consortium to develop and manage the slope on a privately run basis.
4.2 Adventure Centre
As highlighted in 3.3, Venture Xtreme’s leading-edge vision of activities and sports is exactly what is lacking in the regional and local tourism offer. This coupled with the offer being undercover to counter seasonality and with the provision of a wide retail offer and accommodation there is scope for such a development at BSF provided the scale is right.
Source: Venture Xtreme website
Several factors need to be considered. A development such as this at any scale will be a significant financial commitment due to its visionary elements. There needs to be careful assessment of the existing market for such a development and an assessment of any additional draw such a development will generate. The Tyne and Wear and Tyneside day leisure markets are just on the edge of a 3hr drive from Venture Xtreme’s proposed site in Rotherham, hence this would need to be balanced with the pull the Rotherham development might have on the visitor/tourism market targeted by BSF. On the other hand, the whole of Tyneside is within an hour’s drive from the BSF site, (see Figure 2-1), and Edinburgh is within 3 hours drive. Since there is nothing like this in Scotland such a development at BSF could capture short-break tourism from across the border as well as from the markets in 2.3.1.
Competition: Nothing of this type is known to be in the region.
Potential interest in BSF The operators of Venture Xtreme are positively interested in the BSF in principle. Characteristics are summarised in section 3.3.
4.3 Holiday Village
Section 3.4 highlights the fact that a Center Parcs type of development would plug a gap in the sub- region’s tourism offer of higher-quality accommodation and leisure facilities in an all-season setting. Until recently Center Parcs was the only provider of such a leisure offer but Alfred McAlpine Special Projects recently constructed a forest village holiday centre in Wales called Bluestone which opened July 2008.
4 It is assumed that UK Coal can assist with earth moving and earth shaping to provide the basic infrastructure.
19
The Bluestone development provides a similar, if somewhat smaller offer to Center Parcs with wooden lodges centred around an all-weather dome with sub-tropical pool and leisure facilities. It includes a version of the established Center Parcs village and with its smaller catchment area is probably a more appropriate model for the proposed facility at BSF. The village is aimed at the market which Blue Sky Forest seeks to target – middle-class, more affluent, professional families and empty-nesters. It did, however, obtain considerable support from the Welsh Development Agency and Welsh Assembly as a project fitting strategically into the local tourism development plan. 5
Characteristics: Capital costs: £46m incl. 340 log cabins and 60 cottages/studios; Blue Lagoon - (£9.5m - coracle including dome, pool, changing rooms, rides and shoots, heating system. Excl loose fittings and landscaping: H 90m L118m W 40m); Sports Centre; Retail Site: 200 ha. Visitors p.a.: 85,000 staying visitors, 240,000 day visitors Key aspects: The sub-tropical all-weather dome with blue lagoon and spa facilities is the centrepiece of this development. Employment: 700 (on completion) Catchment: 2–4.5 hours drive: Manchester, London, Bristol, Birmingham, Cardiff
Competition: Other than the Cumbria Center Parcs, there are no similar facilities in the region.
Potential interest in BSF In 2008 at around the time of their opening, the management of Bluestone Leisure Ltd. were too preoccupied with the launch of their facility to consider operating elsewhere. It will be useful to contact them when the Bluestone development has settled down, as well as investigating further options.
4.4 Championship golf centre
The analysis into existing provision of golf resort hotels in 3.5 indicated the absence of interested developers for a new hotel-based golf resort and the proximity to the BSF site of a well established hotel golf resort in the shape of MacDonald’s Linden Hall. The research also revealed the plethora of public courses in the sub-region.
However, despite the less than positive findings of the initial investigation, one golf course developer with local ties to the area was identified. This company, Stoneheads, are already working with UK Coal on a site in Swadlincote, Derbyshire called Tetron Point and express strong interest in the BSF. Stoneheads are private sector golf developers, designers and constructors who also maintain leisure facilities and
5 Although its incursion into the Pembrokeshire Coast National Park was strongly opposed by the park authorities .
20 associated developments. Their concept is a two-course facility, including a public course, and a golf academy with ancillary facilities. A variety of accommodation options could form part of the development, including in their view a hotel option, contract managed out. The model suggested is outlined below.
The proposal is for a highly distinctive proposal. This is important in that golf as an attraction needs to make a distinctive offer, and not just be seen as another course in the area.
Characteristics: Content: 18 hole championship course together with high class 18 hole pay and play facility a golf academy with teaching bays; a driving range, short game training & chipping/putting practice facilities; clubhouse, spike bar and restaurant facilities. Ancillary sports facilities & spa (e.g. fitness tracks, tennis courts, outdoor gyms and other leisure & entertainment facilities might be also be provided. Capital costs: £4-5 million for the courses, £1.5-3 million for the ancillary facilities. Clubhouse could be incorporated into a hotel. Site area: c. 350 acres (140 ha), plus 25 acres (10 ha) for, say, football pitches. Visitors p.a.: dependent on local demand, may be of the order of 1,200 members and 40-50,000 rounds of golf p.a. Employment: Golf courses – 20-25 FTE and up to 10 part time FTE. Allow for another 15 FTE for other leisure facilities, e.g. spa and fitness suites. Accommodation: will depend on shape of overall BSF complex, including degree to which holiday village and chalet accommodation is provided elsewhere. A hotel would support the golf centre. However, the potential for new ‘fairway’ housing should also be explored, to generate additional funding and a readymade membership.
A key feature of the Stoneheads proposal is the use of material on site to construct the course. The means of undertaking this can, according to the developers, provide a very economical means of construction. The two courses would, subject to the financial situation, be constructed at the same time as restoration, taking about 3-4 years to be first operational.
The developers envisage promotion of the proposed course and existing courses like Linden Hall as a regional and national attraction, to attract higher value visiting golfers to Northumberland’s premier courses and hotels – visiting golfers will want to visit more than one championship golf course. Additional demand would be generated by promoting overnight golf breaks in the county through the pay and play opportunities, based on budget travel to the area but high quality and good value golf breaks. Increased visitor numbers would generate further direct and indirect expenditure on accommodation, retail, food, drink and entertainment. Finally, there could be a partnership between Stoneheads and organisations like Marriott to bring forward a golf resort hotel at BSF.
The planned development from Stoneheads is summarised below:
“Facility mix-
1. Championship Golf Course over 8,000 yards including a par 6 hole 2. Standard Golf Course over 7,000 yards 3. Hotel and Conference Centre with Golf Clubhouse and Tennis and Gym Facilities 4. Golf Academy 5. Football Academy 6. Eco Park and Sculpture Trail
The longest golf course in Europe – almost 300 yards longer than Rockclliffe Hall – to be opened soon near Darlington at 7,800 yards.
21 The landscape within the golf course would contain large expanses of native long grasses and wildflowers with native trees and shrubs and a variety of new habitat creation, especially wet meadow, pools, ditches, streams.
The proposed restoration plans field boundaries are generally retained with hedgerows and most of `the restored public rights of way and new footpaths intact, with some minor diversions – e.g. over the top of the highest hill on the site which could be formed into a sculptured feature. The golf courses would be designed upon the final restoration plan, with minor modifications in the landform to provide more detailed interest in the forms of mounding, ridges and hollows, and enhanced landscaping.
The landscape of the golf course would be deliberately wild and rugged in character and some features such as black sand in say the bunkers for one hole on the par 6 would reflect the history of the site. The golf course constructed in local and recycled materials, following the ‘Committed to Green’ policy.
The Eco Park would be an area of open countryside with a variety of different habitats managed to promote their ecological diversity and have trails to sculptures, giving potential for an educational centre.
The hotel would be set on an area which has not been opencast and would either contain or sit alongside the golf clubhouse, gym and wellness spa, tennis and squash courts and conference facilities.
Access would be from the main road from the Cockle Park Bridge to the south, most logically a dedicated access road developed on from the existing Haul road, which the County Council has agreed to be retained until the full infrastructure needs of the site become clearer. Separate access to the golf academy and football academy and to the eco park and also would be connected to the main hotel via small roads and buggy paths.”
Source: Stoneheads .
4.5 Childrens’ Attraction
Among the market gaps and shortages identified in Northumberland is the lack of entertainment for younger children. BWU investigated amusement parks for children and have identified a suitable model for this in the shape of a themed forest of fantasy goblins and monsters, equipped with fun and out-door adventure facilities.
This attraction, called BeWILDerwood has been built in the outskirts of Norwich. Opening in 2008 it won an international award for the world’s best new attraction of its type. Its key features are described below.
Characteristics: Capital costs: £2.5-2.7m Site: 60 acres (25 ha) – 20:20:20 – forest:parking:expansion land Opening dates: Easter to October half term Visitors pa: 150,000 – 60% children aged 2-12 Catchment: 650,000 approx (for the Norwich facility) Employment: 10 FTE year round, anything from 6-50 part time depending on visitor numbers.
The Norwich model could be expanded somewhat for BSF, with its greater potential population catchment.
Competition: Nothing similar appears to be in the region.
22
Potential interest in BSF
The consultants and UK Coal have visited the attraction and discussed the prospect of developing a BeWILDerwood type of attraction at BSF. The owners are interested in rolling out a number of regional facilities for the brand, and Northumberland could certainly be one of these. The attraction does, however, require a certain kind of environment and topography (mature trees or woodland in an undulating setting) which would need to be identified in one of the BSF sites. This is not straightforward, although given the timescale for the BSF development, it should be feasible.
On the basis of information obtained about the development, it would be commercially viable, and would be an ideal complement to the adventure centre, providing entertainment for younger children to balance the (primarily) adults and older children customers of the former.
4.6 Water Sports
Given the region’s miles of coastline, there is a variety of existing sea-based water sports provision ranging from dingy sailing to sea-kayaking and kite-surfing. However, inland there are only the limited facilities at Kielder Water of the Leaplish Waterside Park and the Kielder Water Sailing Club. With the national push on sports in the run up to the Olympics there is substantial lottery funding aimed at particular waters sports including sailing and rowing, in which the UK has excelled. Further, the Amateur Rowing Association (ARA) and the Royal Yachting Association (RYA) have pointed out that there is a shortage of training and competition-standard facilities in the region. This has been verified in discussions with Regional officers.
A large lake is proposed at BSF which could fill this gap in provision, drawing on the local enthusiasts as well as day leisure visitor market and overnight visitor market particular if race days and race weekends are held on the lake. Given that this sport is for the weather-hardy, the lake and BSF accommodation also could be utilised during tourist off-peak times. Most water sports clubs include rowing and sailing together and manage a satisfactory shared use of the water. They also share costs and use of safety boats, club house facilities, vessel storage facilities and maintenance and safety equipment.
Another option for the lake, to complement the adrenalin sports on offer within Venture Xtreme, would be water skiing facilities. This is not usually combined with rowing and sailing but could be made possible following the Centre Parcs model at Elveden. Rather than using motor boats which are noisy, expensive and disrupt the water for other water users, Elveden uses a mechanical cable tow. This is cheaper, quieter and can accommodate up to 50 users an hour, ensuring costs are well covered, and is environmentally sensitive. Again, as with sailing and rowing, enthusiasts are weather-hardy enabling competitions to be held out of tourist season making use of lakeside facilities and accommodation. Rutland Water sailing and Water sports club makes a useful comparable for BSF:
Characteristics: Capital Costs: no costs are available Site: Lake initial design – a lake of 2km long within the site boundary cannot be achieved. The current estimated length is between 750m and 850m, which is currently being verified by engineers to ensure that it works practically. There are also ecological issues that are being carefully considered.
23 Facilities: Clubhouse – 1,000 sq ft (100 m2) including bar, meeting room, kitchen, wet room, toilet and shower facilities, Also, slipway, boat storage, rescue boat shed with sufficient room for storage of safety gear and a small workshop. Membership: 850 membership – 350 family, 300 independent, others including corporate, non-boat Key aspects: Most boats are privately owed. The club provides support facilities as well as organising race days and weekends for which they provide bunk-bed type accommodation. The sailing school itself has only 10 or so boats of its own. The furthest members come from is 1/5 hours drive away. Other aspects: i) windsurfing is used to kick-off and support sailing as it is the cheapest and quickest way to get water-based activity going ii) Most sailing is done on the weekends and evenings. Facilities should be used by youth and school groups and other outward bound organisations. Local authorities pay commercial rates to support young children in sailing iii) Beginners and improvers like to sail on inland waters initially and then move onto open water at sea. (If there are coastal sailing clubs nearby this may cause an issue of sustainability for inland clubs). iv) Sailing clubs need to be able to provide club members at all levels with progression routes
Competition: The North East ARA strongly support further facilities .
Potential interest in BSF
The ARA have indicated for a lake to be of competition standard really needs to be 1,600m. Regardless, the ARA welcomed any additional training facilities. The RYA have stated they too would welcome additional facilities.
The Water Ski Federation (WSF) have responded very favourably. Whilst the proposed lake would not meet competition standards, the configuration is not perfect. The rule of thumb for a facility of this scale is that a sustainable club can be developed where there is a population of 300,000 within 30 minutes drive time. More affluent members can be expected to travel 1 hour.
Motor boat use on a regular basis is not recommended (although could held on some selected weekends) but there is also the option of a mechanical cable tow arrangement on a small area of the lake. This is cheaper, quieter and has a higher hourly capacity than using boats. The cost runs out at around £20 per hour with a theoretical capacity of 50 users per hour. The system is highly automated. A water ski experience would also fit well with the outdoor sports theme (Center Parcs have one at Elveden). Were the site to be used for competition with boat drawn water skiing on half a dozen weekends a year out of the peak holiday season (late April/May and September/early October) There is likely to be no amenity disturbance and the competitors would boost the use of the chalet accommodation when there may otherwise be vacancies off-peak season. The ARA have indicated that the water feature will be acceptable for rowing, but that as it will not have true competition potential. The ARA indicated there is a shortfall of competition and training facilities in the North East and the proposed lake would be a welcome facility even without extension. The ARA provided details on the requirements for facilities. This amounts to a safe launching point, a boat storage shed and a clubhouse with a meeting room, rowing machine gym, kitchen, changing room, toilet and shower.
There are no objections to sharing facilities with other water users on an agreed basis (though there can be issues with motorised sports and they are not keen on jet skis) and clubs are also happy sharing buildings. If the scheme is delivered within a regional development programme for the sport there is Lottery funding available.
The RYA are currently promoting dingy sailing very actively. The main lake is sufficiently sized to be useable for competition sailing, principally club sailing but with capacity for open meetings. The lake requirements are for safe launching and a reasonable degree of surveillance from the launching area, which should be achievable. There will also be a need for a compound for dingy storage and a building to
24 house rescue craft with sufficient room for storage of safety gear and a small workshop. In terms of the club house, the requirements are very similar to rowing. Need for changing and showering facilities is slightly greater and they specifically require lockers (as probably would rowers) and there is a requirement for a room separate to the main space for committee meetings. They also need a starting box.
Like rowing, there is potentially money available from the Lottery if the proposals are incorporated into the regional development strategy for the sport. 6 The most logical option is to combine the requirements of the 3 sports for clubhouse facilities into a single building and draw down a percentage of the funding requirement from Lottery sources. The commercial use during the week would share the changing rooms and main club room; a bar/restaurant on the upper floor overlooking the lake would be run purely commercially but could also provide facilities on competition days. There would be benefits in this for both to clubs (security and running costs) and the commercial uses (potential market). There might be some slight issues as the clubs might want control of their own spaces and may want to have their own bar to gain Brewery sponsorship / support. Ironically the easiest part of the equation is likely to be water sharing.
For water sports, the issue of which ones can be accommodated is down to a mixture of capacity and organization. Sail sports, rowing and water skiing all have organized federations with associated clubs that arrange both club events (generally a night in the week + a day at the weekend) combined with regular open meetings catering to a wider audience. These are purely competitive events. Most clubs also arrange training and practice sessions. Clubs will generally collaborate in advance and agree a programme for use - training, club events and open meetings - covering a whole season. These are timed to fit in with wider regional and national events (for example, one would not organize an open meeting for a particular class of sailing dinghy during the nationals for that class). The annual program is difficult to organize. There is also usually agreement reached about sharing of water during training/practice sessions and splitting the requirements for providing safety cover during these times.
Whilst there are regular wet bike race events and series, these are less frequent and not so club orientated - most use tends to be more individualistic, turn up and tear around. This causes conflict with organized race events. There is no reason why there should not be organized race days if these are slotted into the calendar in advance, or wet bike use during the week as part of the experience element. Uncontrolled events or causing noise and disturbance in what should be a tranquil environment will not be acceptable.
It may well be that a form of or part indoor facility could be promoted, particularly to attract all year round activity and beginners. This has proved popular at ExCel in the London Docklands.
4.7 The ‘Driving Experience’ – Motoring Activities
The terrain of the site and its isolation from built-up residential areas the site lends itself well to motorsports, but some of these would be controversial. Hence it is not proposed to pursue major car racing motor sports. On the other hand the opportunities – including market demand – for accommodating some motor sports activities are felt to be worth serious consideration. Taking a sympathetic view of creating a development that sensitively ‘sits’ in a rural environment, the optimum approach proposed is to offer a driving experience with limited attractions. This will still sit in an area that will have a purpose designed acoustic barrier and strengthened mounding and planting .
Go-karting A typical outdoor go-kart track covers approximately 0.5 to 1.5 hectares , depending on the class of kart. A long track is recommended, sub dividable into 2 short circuits to facilitate maximum usage. With facilities, parking and to allow expansion, and potentially an indoor facility (though this would it is suggested only be economic as a second phase) 3 hectares of land is required. Positioning is anticipated at the far northern end of the site (as shown on the master plan) to allow for best use of contours for noise screening.
6 The regional development officer for the NE, Suzie Blair is able to assist with detail for the local situation .
25 Characteristics:
The cost of laying the circuit is likely to be in the region of £100,000. There would also be a cost in constructing the offices and laying out the car parks. It may cost up to £250,000 to create the facility.
Typical prices are around £75 per head for a group race series of 25 people over 2 hours for corporate/entertainment purposes.
Larger scale organized club 1 day race events typically attract 30-50 competitors at £150 per head and several hundred spectators at around £10 each.
Regional and national race series . These vary in size, but generally expect to attract around the 1,000 to 3,000 spectator mark paying £15-25 per head. The facilities required at this level would be significantly higher and the cost of circuit construction would be substantially greater. Development to this scale would require further discussion with the MSA.
Competition: There are few outdoor karting centres in the region, the nearest being in Newcastle and then in Edinburgh
4-Wheel drive course This would use the same office, support facilities and parking as the go-carts. The course would run around the outside of the motor sport area utilising the embankments, streams and interesting terrain. The cost of creating the circuit will be down to the machine time to construct the dips, water features etc. This could be at an estimated cost of only £30,000 over and above the restored landscape as it will not involve major works.
Typical prices for 1 to 1 tuition with vehicle provided and the usual safety talk, lectures etc. are around : - 1 hour £110 - 2 hours £190 - Day £375 - for 2 hour group tuition (up to 5 people) typically £60
Bring your own vehicle and drive around the course would be about £35 per vehicle.
Langdale Quest in the Langdale Forest in Yorkshire is a good economic model that is extremely well managed to sit in its environment sympathetically, and offers a wider range of activities like ‘X-treme adventure’ (thrills based), Unimog challenge (mini-tanks), Quad trekking (silenced quad bikes), Supa Cat rides and Treasure Hunts. It has a 10 year record of commercial success.
The Rally Experience in the Dalby Forest in North Yorkshire is very popular and a commercial success, but the level of activity would need careful consideration as to whether noise levels may exceed those acceptable. However, this facility is very well operated under stringent environmental guidelines and may in fact be an acceptable extra dimension.
Driver skills Driver skills training involving a ‘pad’ and a simulated driving course has good potential. It would best sit within the range of other motoring experiences, as described above.
Characteristics: Capital cost: £1m inc timing equipment, floodlights, £100,000 for laying the circuit. £ 250,000 for construction of offices and laying out the car parks. Site size: 8 ha Key aspects: Sound barriers in the form of planting would be necessary. Outdoor karting in Newcastle uses high concrete walls to reflect sound back into the track but there are still issues (in Newcastle) with noise levels.
26 Competition: The only significant other enterprise, albeit the best in the country, is that at Langdale Quest, North Yorkshire. This is highly successful due to excellent standard of facility, the quality of the environment and the general offer. This has diversified into complementary operations like the Unimog challenge, Quad trials, Supacat rides and so forth due to its popularity.
Potential Interest in BSF Further inquiries have to be made regarding these sports. The owner/operator of the karting centre in Newcastle is interested in expanding operations but stated he would not consider the BSF. Most karting is done in the evenings and at weekends and the BSF sounded too isolated for easy access from any sizable conurbation, “there’s not many chimney pots about up there”. However, if a track formed part of a major sports and leisure complex, as proposed, this attitude will pretty certainly change, particularly as this type of activity is commercially very attractive due to its popularity and hence revenue generation potential.
In order to give this proposal distinctiveness, it would be innovative to promote evolving sustainable motoring eg. Electrically powered, bio-fuelling or hydrogen-fuel cells.
4.8 County Events Centre
The existing county show ground at Tynedale Rugby Club in Corbridge is just under 15 ha and is considered to be significantly under-sized. The show attendance in 2008 was 26,000. The gate fees were £10 for an individual ticket and £25 for a family ticket.
To give an indication of what could be aimed at, the Staffordshire County Show is held at Bingley Hall – the County Showground. There are 5 exhibition spaces of 5,900m2, 1,360m2, 1,150m2, 1,000m2 and 640m2. There is also a banqueting suite used for conferences that holds 700 for conferences or 500 for functions.
The whole complex occupies 55ha which includes car parking as well as the exhibition facilities, conference, entertaining and the show ground itself and various outdoor events spaces of differing sizes including a 400 seat grandstand. As well as the county show it hosts various smaller livestock shows, game fairs, agricultural equipment sales, car shows (both new and classic), a steam show, equestrian, running and cycling competitions. There are a whole host of events there with numerous small shows and exhibitions, sometimes sharing the larger buildings, all through the year. It also hosts major social events. It has of late began very successful activities based around farmers markets, food and drink, country pursuits and crafts. It also hosts the Midlands Dog Show and the prestigious County show.
A similar sized project is proposed, but initially with one building around 4,000m2 capable of sub-division, a smaller building of around 800m2 capable of exhibition, conference or banqueting use and the usual support facilities, designed with potential to add additional exhibition buildings later if there is sufficient demand. The grounds would be available to host differing sized events – from a relocated county show and agricultural events to smaller enthusiast events like the above. and potentially animal and sporting competitions. The important ingredient is to have adequate space to be multi-functional and not be constrained.
Adequate space for temporary facilities including pavilions and marquees is critical.
The proposed Blue Sky County events centre and all the associated complimentary activity will need very careful infrastructure and access planning. In particular public access is discussed later in this report.
Characteristics: Capital Cost: - Site: 55 ha approx. Building: one @ 4,000m2 capable of sub-division. A smaller building of around 800m2 capable of holding exhibitions, conferences, banqueting uses and the usual support facilities. Again, the grounds would be available to host differing sized events from a relocated county show and agricultural events to
27 smaller enthusiast events such as steam fairs, dog shows and potential equestrian events Key aspects: The potential to add additional exhibition buildings later if there is sufficient demand.
Competition: The existing Northumberland county facility is at Corbridge, a rugby ground, which severely constrains the level of events that can be held. The nearest top quality county ‘showgrounds’ are in North Yorkshire (Harrogate) and Scotland (Edinburgh).
4.9 Equestrian Centre
Along with water sport / recreation and motor experiences, equestrian events are not highly weather dependent and can draw in visitors during tourist off-peak seasons. Somerford Park Farm in Cheshire provides a large range of facilities which can act as a useful comparison for the BSF site, and is set out below.
Characteristics: Capital costs:- Site: 3 ha minimum inc. pavilion (classroom, kitchen, shower and changing rooms 33 stables, tack shop, 4 outdoor arenas: 70 x 70m Show jumps, grid 2 sand: 65 x 40 with jumps; 1 sand: 65 x 20jumps/dressage; 1 indoor: 40 x 20m facility, at least.
Competition: There are already several equestrian centres around in the region but very few large centres and centres which also provide good indoor facilities.
Other exemplar facilities include • High Plains, Riding Mill, Nr Hexham, Northumberland NE44 6BP. • Todburn Centre, Longhorsley NE65 8QZ. • Shipley Lane Equestrian Centre, Alnwick, Northumberland, NE66 2LS. • The Bridle, Murton, Nr Whitley Bay, NE27 0QD.
None of the above provide an indoor Arena to enable the full range of activities, the nearest facility to offer this being at Upsall Grange, Nunthorpe, Middlesborough TS7 0PG.
Potential interest in BSF The British Horse Society – North East - stated they would welcome larger facilities in the region, in particular good indoor riding as will as cross-country tracks. Rights of access across land has been an issue for many riding schools and given the size of the site, BSF could provide extensive cross-country tracks without the access complications.
The size of equestrian centres varies greatly. A good example of an appropriately scaled facility is Somerford Park Farm in Cheshire (CW12 4SW) – a leading national centre. The main facility is about 3 ha plus paddocks with riding routes through adjacent farm land. In addition to the offices, parking, storage etc, there are the following facilities:
Pavilion building including classroom, kitchen, changing and shower facilities; Stabling barn with 33 units for visiting and resident horses; Tack shop and vet; Farm rides 6.5 and 5 mile bridle way circuits with optional artificial jumps available; Cross country competition circuit; Cross country training area; Arenas:
28 Ash - 70 x 70m with full set of Show Jumps and a Grid. 2 x sand - approximately 65 x 40m with full set of Show Jumps. 1 x sand - 65 x 20m with practice jumps and dressage area . Indoor - 40 x 20m for indoor and basic training.
A similar area of a main complex of 3 ha would be proposed, with adjacent associated lands. The main centre would have the buildings, arenas and parking close to the road with paddocks etc. to the rear. An indoor training building, main 70x70 show jumping area, 65x40 general purpose sand arena and smaller dressage/training area is proposed. There is sufficient space to add to these later, if required. The rides would be part of the footpath/bridleway/bicycle circuit and various rides would be signposted, as well as the access to Druridge Bay, a unique facility. The one slight problem here is the separation resulting from the position of the railway line between the sites.
The equestrian centre itself could from a blank-canvas provide facilities to accommodate shows and competitions – all that is needed for most is either the use of an arena or a good area of grass. There is potential for larger events – cross country races or carriage driving also. These require extensive custom designed courses and substantial support facilities. These are more appropriately accommodated as part of the County Events area with the courses running through and outside the main arena. Some of the fences are demountable, but most of the obstacles, jumps and water features are permanent features. The events also tend to be multi day so there will be a requirement for camping and associated facilities.
Equestrian operations are clearly a popular rural pursuit under good management. The proposed facility will undoubtedly be of strong market interest to private operators in that it will offer a range of complementary activities provided at a strategic level, for example the County Events centre. A ‘model’ operation, as described, is clearly a strong delivery model but will be determinant upon the operator’s proposition and its ‘strategic fit’.
4.10 ‘Promotion Centre’ (Blue Sky Centre), with a retail offer
As part of an attractive large scale tourism and leisure offer, a complementary retail offer is appropriate. This should not be seen as a prime retail driver, or it will fall foul of restrictive planning policy. It is suggested that a ‘Blue Sky Village’, promoted on the masterplan in two locations rather than just one, comprising a promotion function as well as supporting restaurants and cafes, a regional food based retailing offer, countryside activity and sporting / adventure clothing, craft goods, visitor support services and so forth. The House of Bruar is such an appropriate attraction, with clothing and produce sales found out of acknowledged retail centres. A Tourist Information Centre promoting the County and its wider offer is appropriate within this complex, promoting complimentarity of the BSF site as part of the County’s major offer. It is important that the ‘Village’ is seen as a high class supporting feature in an easily located and prominent position, and being seen as part of a strong theme and not an independent activity. Either one of the key private sector anchor operators could lead this development, for example the Holiday Village operator who may see it as a ‘gateway’ to the site, or be operated by a bespoke operator under a franchise. As a commercial element serving a package of major operations this would be a highly sought after opportunity.
The ‘service centre’ housing the more operational elements could be best located at the existing Stobswood site complex, on the existing brownfield platform and potentially re-using some existing buildings.
29 5 Other developments
In addition to the ‘core uses’ which make up the main identity of the Blue Sky project, there are other complementary uses which sit within the overall proposed master plan. These other developments vary from those with strong interest from commercial operators through to those requiring some further promotion and assessment.
Details of these further uses are outlined below, with sufficient detail to understand their strategic fit and complimentarity.
5.1 Centre for Renewable Energy
The strength of this concept is multi-faceted, and includes at least the following attributes • following a strong Governmental agenda • demonstrating a commitment to sustainability • creating good public interest – a potential attraction in its own right • exploiting potential for new technologies • new employment opportunities and training avenues • fulfilling renewable obligations within the overall Blue Sky concept.
For the Blue Sky project not to show strong respect to the renewable / sustainable agenda would create a major barrier to its credibility. It not only needs to be seen as honouring a commitment to Governmental policy, it needs to sit neatly in the context of at least the following: • PPS 22 – Development Plans encouraging proposals for renewable energy sources • North East RSS – sets renewable targets to move ‘towards a more sustainable region’ • PPS 1 – delivering sustainable energy proposals • The Merton 10% rule
The latter sets the principle that at least 10% of energy needs to be sourced from renewable energy sources – preferably on site but definitely available and linked to the site’s operations. Overall energy requirements of the Blue Sky development therefore need to be demonstrably linked to renewable energy production.
An ‘Energy Plan’ will be required, demonstrating all facets including how design will be utilised as an asset, and how much on-site and off-site or external energy is required to serve the overall development.
In short, the total integration of renewable energy production, demonstration, education, training, and image is critical within the overall profile of the project. ‘Operators’ in a wide sense are already being identified, who are attracted by the proposition of the site’s location and its future strategic development opportunities.
The clear promotion and demonstration of embedding renewable activities and production, set in a sustainability context, into a new strategic tourism and leisure development is a strong one and one which will give the site strong profile and credibility in planning and regeneration terms. A demonstration facility is strongly promoted as a visitor attraction, across all technologies even if there is not significant on-site production.
The following are known interests in the site.
5.2 Biomass Research and Demonstration Facility
Proposal: To establish a long-term land-based biomass research and demonstration facility. Tenant: Cockle Park Farm (Newcastle University) Nature of contract : Farm Business Tenancy Area of land required : 25-35ha
30 Background Newcastle University has established the Centre for Renewable Energy from Land (CREEL) at which the technologies and wider implications associated with the use of renewable sources of energy from the land can be promoted via research, demonstration and education. The CREEL facility is based at Cockle Park Farm (4 miles north-east of Morpeth) in Northumberland.
Planning approval was granted for the project in November 2007. The CREEL project has been accepted by a number of funding bodies.
The proposed Centre for Renewable Energy from Land project seeks to complete the regional jigsaw of renewable energy initiatives by providing a focus for translational activity across a range of bio-energy technologies. It is recognised that to achieve an increase in the adoption of biomass as an energy source not only is further scientific research required in terms of conversion and generation technologies but equally in terms of agricultural land use, crop management and the environmental impact of the crops involved. The confidence is that the University of Newcastle has an extensive and multi-disciplinary biomass research capability.
Proposal • To establish a satellite field trial-site facility linked to the CREEL development for research into the production of biomass crops and their environmental implications. • To work with a range of stakeholders e.g. UK Coal, National-Non Food Crop Centre (based in York), Northumberland College, Northumberland Wildlife Trust, Groundwork Northumberland, etc to ensure that the full potential of the biomass trial site is realised.
This field trial facility will enable us to identify the suitability of a range of biomass species for sustainable production in the North-east and to explore the potential for processing of such species via a range of energy conversion technologies.
The site requirement is currently of 25-35 hectares suitable for growing a range of biomass species in blocks. Examples might include: Willow, Eucalyptus, Miscanthus, High sugar containing grasses, Poplar, Reed Canary Grass, Switch Grass and Red Alder.
Research and Demonstration • evaluate the performance and productivity of a range of biomass species in the North-east; • improve the productivity of these species via a combination of novel germplasm and agronomic management. It is intended to evaluate novel germplasm from the breeding programmes for; willow at Rothamsted Research, poplar at Southampton University, miscanthus and the high sugar containing grasses at IGER.; • assess the contribution of the different biomass species to increasing biodiversity; • assess the suitability of restored opencast land for the growth of biomass crops. This would extend the work that was previously carried out by the University for British Coal looking at the suitability of restored opencast land for agricultural cropping; • to determine how the different biomass species influence soil profile development; • evaluate the effect of different restoration practices on the performance of different ebiomass species; • potential for increased carbon sequestration in the soil thereby mitigating the effects of climate change; • the potential of bio-char (a by-product of biofuel processing) for improving the productivity of biomass crops; • evaluate the use of a range of waste materials as nutrient sources for these crops; • evaluation of the environmental and economic implications of changing land use and the growth of bioenergy crops; • determine the impact of growing energy crops on water use and availability • provide feedstocks which can be evaluated for their suitability in a range of ;bioenergy technologies e.g. biomass boiler, gasification, anaerobic digestion etc linked to the CREEL facility.
The species to be included, the design of the site and the work to be carried out would be determined by a Steering Group representing interested stakeholders.
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The Biomass facility will provide a demonstration facility for farmers in terms of the production, harvesting, storage and utilisation of biomass crops as many of these crops represent a new and different challenge for many farmers and land managers. Most farmers are unfamiliar with the production of biomass crops and the principles of husbandry are quite different to conventional arable crops. These are all issues, which can be addressed by a well co-ordinated development/extension programme through the exploitation of established linkages that Newcastle University has with industry groups, the public sector and other organisations.
Benefits/Outputs • establishment of a high profile research and demonstration facility for engagement with farmers, growers and landowners, which can be used for education, training etc; there is nothing like this on such a scale in the UK. • the trial site would support the development of a North East biomass industry; • raise public awareness and profile of the Blue Sky project as an innovative and highly sustainable approach to restoration; • promote a partnership with UK Coal to research and develop strategies for addressing environmental issues both in the region and nationally and help inform future land restoration programmes.
It is envisaged that Newcastle University would work with UK Coal in develop an amended restoration plan for the proposed trial site for the land to be restored for agricultural use. As the trial site is being restored then it is envisaged that planting of biomass species will commence in the following season. The initial costs of biomass establishment are estimated at £100-150K. Maintenance operations for the site for the duration of the tenancy will be managed by Cockle Park Farm and carried out by a combination of agricultural contractors in conjunction with Cockle Park Farm.
Conclusion
This proposal is a highly sustainable proposal, strongly adding to the project’s credentials in terms of innovation, climate change (including the food – fuel debate), education and training. This would be a strong ingredient within the Centre for Renewable Energy concept.
Further areas for consideration
The site offers potential for all technologies, but probably the majority will be for demonstration and not economically viable. One technology that is recommended to be seriously taken forward is that of an ‘assisted hydro system, on the Stobswood site where the Bailiff’s Larch course runs in to the River Lyne. An innovative approach can use a low head and slow running system, storing the potential of the water features. Innovative designs like the Gorlov Helical turbine can be integrated in to the weir feature.
Another innovative approach would be to use a pump storage system in addition to continuous low power low speed helical turbines.
5.3 Com- Vert – Green Composting
Com - Vert’s identity is in promoting the next generation in recycling green waste and compost production. There is strong support for such composting activities in national policy, backed up by fiscal incentives to aid delivery.
Com-Vert's ethos bridges the gap between contemporary society's wastage and its production of high- quality products - a 'Soil Association' Certified organic compost.
Waste Management
Com-Vert have experience of providing alternative methods to dealing with green waste and provide a viable means of diverting it from landfill disposal. With the ever increasing landfill tax and numerous ecological pressures, Com-Vert provides an option that is both sustainable and potentially financially
32 beneficial. Both commercial organisations and local authorities have used these or similar approached to dealing with their waste.
Com-Vert indicates that it aims to help local authorities achieve its targets set out in the EU landfill directive (1999/31) , by providing a cost effective and sustainable outlet for its segregated green waste, which stimulates interest in both civic amenity segregation and door step collection schemes.
There is clearly potential for true community recycling. The householder’s immediate environment can benefit from the fruits of a community’s labour – waste actually being used as material within an environmental regeneration scheme.
Com-Vert currently operates sites near Alnwick and near Ashington in Northumberland and they are actively seeking new projects and expansion. These operations involve a fully traceable and auditable processing system meeting the requirements of BSI PAS 100, and is suitable for commercial and domestic use. The input material is processed through the plant to produce a soil conditioner for agricultural use which improves soil structure and drainage, water retention and promotes the slow release of nitrogen over a three year period.
The Anaerobic Digestion process is now well acknowledged as a power and an end material providing process. Its outputs include using controlled methane processing for electricity generation, hot water, compost and fertiliser, and of course some jobs in operation and processing on-site which could be up to 40 overall.
In terms of public education of this relatively new ‘green technology’, managed visits to the site will be available.
Whilst power outputs can be highly variable, a normal size operation can supply power requirements to 1500 houses. Greatest efficiency is achieved when the waste heat from the activities can also be harnessed to provide heating and hot water to displace fossil fuel usage, further enhancing the attractiveness of the proposals.
The precise siting of such an operation will need careful assessment in terms of planned access routes and any effects on any sensitive neighbouring uses.
5.4 Vertical Aeroponic Growing Systems
The ENERGI initiative has been developing, in conjunction with GONE as part of its Central Process Industries programme, this exciting initiative which is generating great interest within the farming and food industries. The Blue Sky site offers real potential to deliver a proposal at a reasonable scale, the innovative development being currently promoted through an American organisation.
The Aeroponic Growing System
The principles of Aeroponics are based on the possibility of cultivating vegetables whose roots are not inserted in a substratum (the case with hydroponics) or soil, but in containers filled with flowing plant nutrition. In these containers roots can find the best condition regarding oxygenation and moisture. These conditions allow for better plant nutrition assimilation in a more balanced way, with consequential faster development of the cultivated plants.
Plant containers can be mounted on top of one another and because they are light and handy, they can be easily moved according to agricultural needs. Numerous plants are mounted in vertical columns within a greenhouse or shade house space. Nutrients are allowed to trickle down through the growth columns.
Most agricultural plants need a direct exposure to the sun during the first vegetative development. Afterwards this direct exposure is no longer relevant. Based on this observation, plant containers are periodically displaced. Young plants are placed at the highest level of the growth column. Afterwards they are progressively lowered utilising a rotational mechanical system. With the rotation periodically repeated, this permits constant production without any interruption. The Aeroponic system is agriculture with a non-stop production cycle.
33 Plant nutrition is supplied into a closed circuit. Consumption is consequently limited to only the quantities absorbed by the plants, allowing for substantial water savings. For example: to produce a kilogram of tomatoes using traditional land cultivation requires 200 to 400 litres of water, hydroponics requires about 70 litres, aeroponics utilises only about 20 litres.
Because the aeroponic system is a continuous-cycle in an enclosed space it reduces the agricultural labour into a series of mechanical routine operational tasks which are carried out daily and throughout the year. This enables workers to acquire considerable skill within a short period of time – a few months. In traditional agriculture commercial production is obtained only with skilled workers qualified by many years of experience.
The aeroponic equipment is sheltered within greenhouses or anti hail-storm coverings according to the latitude. Climate controls within the greenhouse ensure optimal growing conditions, assuring high yields.
5.5 Peel Energy
Peel Energy have a joint venture company between UK Coal to investigate wind projects on UK Coal sites. Peel Group describe themselves as one of the UK’s leading real estate, transport and infrastructure investment companies. It is clear from a brief examination of their track record that the company has experience of delivering low carbon energy within the UK.
They are developing a mix of low carbon technologies in order to meet UK’s growing energy needs. They are doing this through • wind farms • tidal power • energy from waste • biomass • multi-fuel generation including carbon capture & storage.
Their promotion includes the potential to manage Green Energy Resource Parks.
Peel Energy are currently assessing the Blue Sky site and its surroundings and assessing which forms of generation have potential. It is understood from preliminary discussions with the firm that this assessment is planned to be completed within 6 months.
It is obviously not clear what conclusion this research is likely to reach, although the area is believed to have potential for wind power. Whilst any proposal for a wind farm is likely to be highly sensitive, it has to be acknowledged that there are significant other operators in the area taking forward proposals, some with national support through the planning appeal process. ‘On the doorstep’ Novera Energy are developing proposals for a wind farm (probably 6no turbines) at Longhirst, immediately south of the Blue Sky site.
Whilst one cannot pre-judge the outcome of the above feasibility exercise, the level of potential power generation and the strong relationship to UK Coal as site operator will no doubt have a material bearing on the commercial viability of the overall scheme. This should be balanced against the importance of environmental sensitivity and any adverse effects upon potential developments making up the BSF concept. At this stage it is recommended that the concept receives a fair and honest hearing over its potential contribution when a feasibility report can form the basis of proper consideration. Any proposals would have course have to meet the stringency of the planning process including an environmental impact analysis.
5.6 Rail-linked Employment Site
UK Coal’s subsidiary, Harworth Estates, submitted a proposal to Castle Morpeth District Council for the inclusion of a site of 29 hectares of restored land for employment purposes (see Figure 5.1), incorporating the retained railhead to the north. The site would be accessed by the C115 road diversion from the east, connecting with the A1068 road with the additional option of access from the C107 road to the north via the existing Maidens Hall haul road. The Northumberland County Council accept the fact that this road should be retained until more detailed assessment of infrastructure requirements to serve this development and the whole Blue Sky development are undertaken.
34
There is a very strong case for a ‘small / medium sized sustainable employment site’ serving Sustainable Coastal settlements. The precise nature of any proposal is still at very first stages of consideration, and again it is recommended that the concept receives a fair and honest hearing over its potential contribution when a feasibility report can form the basis of proper consideration.
In sustainability terms the site’s rail linked facility is a major asset in that it protects and thereafter utilises the route for rail freight usage, in line with Government policy. The Regional Spatial Strategy specifically outlines prioritising development of multi-modal freight interchanges in connection with development.
Figure 5.1 Rail linked development site
5.7 Miscellaneous Development
Residential
The BSF project scheme embeds a strong tourism timeshare / holiday let / overnight stay element. There has been much debate over time of the merits or otherwise of introducing a more standard housing element.
The policy background in this respect is very clear – there is only support for residential development in defined sustainable settlements within the existing Castle Morpeth District Planning Core Strategy, the only relevant cases being Widdrington Station (including Stobswood) and Widdrington Village. Spatially, to serve the Blue Sky development West Chevington would appear to have similar merits but this lies out with the current planning framework.
The full scale regeneration of the site over time will clearly create accommodation demands from key workers through to entrepreneurs. The case for policy exceptions is likely to rely on the special circumstances of strategic growth, and indeed the strong potential for a carbon – neutral eco village served by the aforementioned Centre for Renewable Energy.
Outdoor & Rural Pursuits Centre
The existing Widdrington Gun Club is a well established activity in the area. This is just one of a range of activities that would sit well within the Blue Sky concept, and be more attractive as a grouped themed activity. Other suitable uses would be leisure uses like orienteering – utilising the strong links to the wider landscape – paint balling, archery, cycling, and so forth; and rural pursuits like fishing skills, countryside stewardship activities like hedge laying and stone wall building. The whole range of possible themed uses would easily sit within one overall managed facility.
35 The natural environment
It is important to understand that the principles of restoration are to ‘give the site back to the community’ in terms of accessibility, safety, wildlife refuges and planned sites and linking corridors of woodland. Without this substantial natural environmental structure, the site will be equally be ineffective as an overall leisure and tourism attraction. The next stage of development of the masterplan will look to adding to environmental quality in relation to the planned development themselves and to linkages.
36 6 The Masterplan
Figure 6-1 Concept plan
37 Figure 6-2 Maiden Hall topography and potential green areas
38 Figure 6-3 Stobswood topography and potential green areas
39 7 IMPLEMENTATION
7.1 Planning – New Unitary / LDF Core Strategy / RSS Revisions / Restoration /
This report is the trigger to new possibilities. It opens up the opportunity to take the scheme forward to the new Unitary Authority – Northumberland Council - as the preferred strategy. The most opportune approach is then to take it forward as soon as possible, with full community and stakeholder support, into the new Local Development Framework Core Strategy and subsequently revisions of the Regional Spatial Strategy (RSS) as a strategic development proposal.
7.2 The Delivery Model – UK Coal
The 2004 KPMG report assessed delivery route options and firmly recommended a private sector limited company (‘NewCo’), to ‘act as the custodian of the project’, managing, taking forward applications for public sector funding and contracting with private developers and operators through a sales prospectus.
We see the picture somewhat clearer than this, with a more straightforward and responsive route. UK Coal is a commercial organisation and takes forward commercial projects. It understands the regeneration opportunity and the benefits it can deliver for the community, as well as the commercial considerations. UK Coal also has the significant advantage that it is the sole and un-encumbered owner of the site, as well as a number of additional areas of land in the vicinity that could assist the regeneration process, should this be required ion future.
The Widdrington Regeneration Partnership (WRP) has established regional and local support, which is highly credible in a highly competitive regeneration world. This support will be important in taking the project forward, particularly those areas where public sector involvement is required, partnered by an organisation with the capability and track record to commercially appraise, fund, promote and procure the delivery of the project overall.
For the implementation of the core commercial development proposals UK Coal is the logical choice to take the lead because: • it is the sole landowner • it has significant property development expertise and development partners • it has complete understanding of the mining projects, restoration commitments and responsibilities • it has assets to put behind the project if required • it is able to cross-finance elements of the project • it can engage other partners as the project develops as required
The company has been involved from the outset in the Blue Sky concept and its objectives and is willing to take the lead commercial role in the project, with the backing of communities and stakeholders in the Blue Sky regeneration principles.
It is understood that UK Coal is committed to dedicating sufficient funding and staff to properly resource promotion and delivery. Clearly it is important that there is continued close working with the community and stakeholder partners within a transparent process of continued engagement and consultation; ensure that the project pursues a commercial and sustainable development route; and will pursue the phased delivery of the Blue Sky project in a timely manner. UK Coal has a continuing presence in the area not only at Blue Sky but with future coaling at Potland Burn over at least a 6 year period together with complementary regeneration in the former mining settlements of Ellington and Lynemouth.
The vision for Blue Sky Forest outlined in this report includes elements of non-commercial development for which partnerships between the land owners, the public sector and relevant partnership bodies will be required to carry them forward. At this stage, before the degree of participation of local authorities and other public sector bodies is determined, the nature of such arrangements cannot be specified but critical discussions will be needed to take the project forward.
40 7.3 Hierarchy of Projects and Project Phasing
The Master Plan provides the physical framework for the development of individual projects. At this stage an outline of the preferred hierarchy can be set out, but it is subject not only to approval by the planning authority and other agencies but by the successful attraction of private investors, the involvement of regeneration bodies and the public sector in provision of public and community uses and the assembly of finance for key developments.
It is helpful to break down the overall Blue Sky Forest project into distinct elements, both in terms of planning and development. Four basic types of proposed activity may be identified: • Commercial tourism/ leisure attractions (private sector) • Sports and recreation development (private and public sector) • Events facilities (public and private sector) • Other development/ non-leisure projects (largely private sector)
Additional to the private/public mix, developments may be categorised in this way because each is to a significant degree independent of the others. That development can proceed on several fronts and at different speeds adds strength to the project, such that a down turn in one area need not jeopardise the overall project. Hence non-commercial leisure, including the lake and its activities, can be established without prior completion of commercial attractions, albeit that each may share infrastructure and other facilities and indeed become part of a larger integrated package.
A broad hierarchy suggesting the optimal phasing of development may be set out for each of these four sectors based on the key drivers in each sector. These are outlined in turn.
(1) Commercial tourism and leisure attractions
The total package proposed for Blue Sky Forest comprises six attractions and a Promotion Centre to serve all visitors. The key attraction is the Adventure Centre (AC). This would establish the site as a destination location, attracting both day and weekend visitors and tourists/staying visitors. Tourist visitors would be accommodated in the hotel(s) planned to be an integral part of the Adventure Centre complex. The facility would ideally be developed at the same time as the proposed Out-door Ski Slope , which would provide complementary and supporting activity.
On the Maiden Hall site the Holiday Village (HV) would be the second most important attraction, as an operator can be identified. The HV is the most important generator of staying visitors, or overnight tourists, and would provide a substantial user base for the AC.
The Golf Sports Complex is logically part of the top tier of visitor attractions, although given its separate location in Stobswood and distinctive demand profile, it is not tied to the AC or HV in development terms. It must be recognised however that this element may well be the first to the development stage, so may be viewed as a key development for this reason alone.
The commercial attractions should be supported as soon as possible by the Childrens Attraction (BeWILDerwood) and Driving Experience . The former provides complementary interest and entertainment to the adventure centre, for smaller children. The latter is probably less critical, being located some distance from the core attractions in Maiden Hall with a potentially variable mix of activity set in a well screened environment.
Finally the development would include a Promotion and Service Centres, in effect a commercial village with specialist themed retailing, cafes and restaurants, which would provide a showcase for regional produce, a tourist information centre and an attraction in its own right.
(2) Non-commercial sports and recreation development
‘Non-commercial’ is a broad term which in the Blue Sky Forest context is taken to include all outdoor countryside activities and facilities – footpaths, bridleways, nature reserves and so forth – together with general sports activities and facilities. There is not a hard and fast distinction between commercial and non-commercial insofar as certain sports may be both, but it is convenient to group activity in this way.
41
This segment has its own hierarchy, the top of which is activity related to the Lake . This will become a distinctive feature on the Maiden Hall site, an attractive feature in its own right and providing a focus for a wide range of water based sports activity. Prominent among these will be rowing and sailing, although other aquatic sports may well be appropriate.
The second proposed facility is a regional Equestrian Centre which, like many aquatic sports, can operate during all seasons. The optimum development would be fairly large and flexible to accommodate a variety of horse related sports. This is likely to be a sought after commercially viable opportunity.
General Sports and Countryside Activity is not specifiable in the same way as other activity, and by definition is dispersed across both the large sites. It is preferable to think of this as a potential, making use of the existing attributes of the area, and especially linkages through footpaths to the surrounding countryside and coast. The local authority in collaboration with other agencies like the Sports Council, environmental bodies and the local community will all be involved in realising this potential. The creation of the Blue Sky Forest in itself, together with planned areas of refuge for wildlife will create great interest.
(3) Events Facilities
The main facility envisaged is a County Events Centre capable of accommodating a wide range of activity ranging from county shows to entertainment, exhibitions and certain sporting and leisure activity. This will require a main building and supporting structures, but many of these could be temporary in the shape of marquees. Such an area is expected to provide the main access provision to the Maidens Hall site, with well planned public transport access.
(4) Other Development
Other proposed uses for the two sites include a wide variety of uses related to Renewable Energy generation. This includes a centre for renewable energy from land (CREEL), operated by the University of Newcastle’s agricultural research department, together with renewable energy demonstration as both a resource and a tourism demonstration facility. More conventional Industrial Development is at the first stage of promotion through the exploitation of a railhead on the Stobswood site in collaboration with Network Rail which provides the possibility of optimising rail potential.
All these projects can proceed independently; hence there is no obvious hierarchy of development. However, the University renewables research project, located on the Stobswood site, is likely to be the most distinctive and without incumbency.
It is our contention that the above represents the clearest indication possible at this stage of the proposed stages for implementation.
7.4 Next Steps
Blue Sky Forest is not a single but a multi-sided project which requires involvement of multiple organisations for its implementation and can only be realised through the planning process and the plan led system. Although the current study has taken it forward, considerably more work needs to be done. An outline of the major requirements is set out below.
1. Project submission to Northumberland Council (NCC) for inclusion in Core Strategy of the forthcoming Local Development Framework (LDF).
This involves: - discussions with NC to confirm the nature of the formal submission - enlisting support of GO-North East, Northumberland Tourism, and other agencies (e.g. Sports Council) - a strategic development submission demonstrating employment potential and the contribute to the regions’ leisure and tourism objectives
42 2. Public Consultation.
It is suggested that the WRP undertake a planned public consultation exercise to properly inform the Parishes and the wider public of the results of this Study and the proposed way forward.
3. Development of delivery mechanisms for private/commercial attractions.
- UK Coal/UK Coal and partners - development model / investor participation
4. Master Plan detailing .
This will depend on the approach agreed with NC, but may include the following: - specification of nature of the planning application, e.g. as a first detailed stage and subsequent outline stages, how separated by activity sector etc - market research studies in support for key commercial facilities, and parallel research on demand for day visit/events facilities - a strategic transport assessment - sustainability appraisal - planning work on countryside issues – footpaths, linkages with surrounding areas etc (links with restoration plans)
5. Revised restoration proposals.
Ongoing discussions have been taking place over revised restoration plans for the sites with Northumberland Council which marry in with the Blue Sky concept. These will be formally submitted in the near future to supersede the originally approved restoration plans.
6. Investor participation.
This would take forward the actions already taken to identify potential investors. In addition to the firm and well developed interests in the site, for example the golf operators, further priorities for developing interests are particularly: - holiday village - outdoor dry ski slope - driving experience - equestrian centre
7. Public sector participation.
In parallel further lobbying, negotiation and discussion will be required with NCC, the RDA, Sports Council and other bodies to explore the potential for: - aquatic sports activities - county events centre
8. Financial appraisal.
Financial and economic appraisal will be required to satisfy both private and public participants in the development process, including: - detailing costs, revenues and returns for private sector projects (e.g. motoring experience) - financial and economic appraisal to meet requirements of RDA and any other agencies for which public investment support is anticipated
9. Publicity.
In order to ‘sell the scheme’ to all audiences a professional publicity brochure is recommended, particularly highlighting benefits and outputs and its strategic fit.
43 7.5 Role of the WRP
The Widdrington Regeneration Partnership has a pivotal role in taking forward this bold, imaginative and major development opportunity. It should retain its strong commitment to the following in order to support delivery
1. Promotion – selling the project in terms of a sustainable future for an area that has experienced some decline in traditional employment; jobs and investment in leisure and tourism. 2. Community support – the public are making a very strong statement that it is behind these proposals. 3. Influence stakeholders – influencing the new Unitary Local Authority in planning, regeneration and community sustainability terms. 4. Supporting UK Coal in its responsibilities to the site. 5. Maintain the Partnership momentum. 6. Keep abreast of any public funding opportunities that may arise through a local community dimension.
7.6 Restoration as an Opportunity
Stobswood started coaling in 1990. There have been three extensions to the coaling area resulting in an additional 2.5 million tonnes of coal recovery.
The restoration proposals have been modified over the years to reflect evolution of the green environment. User groups, the Wildlife Trust, Countryside Officers and the public have been consulted and as a consequence there is a larger proportion of the land to be reinstated for amenity, public footpaths, bridle ways, deciduous woodland, wetlands and amenity water. In addition hedgerows will contain both trees and agricultural headlands to provide habitat and hibernacula for the diverse wildlife that flourishes in the area.
Coaling was completed in December 2008 and the current planning permission expires in November 2009. It is expected that UK Coal will apply to extend the restoration period into 2010 as it is usually impractical to restore soils after August. There will be progressive rehabilitation following the reinstatement of the soils. The Company is obliged to manage the agricultural and woodland areas for 5 and 10 years respectively.
Maidens Hall Extension is currently being backfilled and should be restored by late 2009. However, as at Stobswood, soils restoration may stretch into 2010. Steadsburn is due for completion in Autumn 2012 but the date may be compromised by the late start.
It is important to understand that the restoration of the site is currently agreed in line with the permissions for coaling. The new vision for the Blue Sky project can fit within that original framework, but the restoration scheme must always be understood as the default position. There may have to be some revisions, but not of a strategic nature. The central feature lake would be one such change.
The revised restoration proposals are currently being finalised, involving are series of technical studies on geotechnics, hydrogeology, ecology and so forth, involving liaison with Northumberland Council.
7.7 Accessibility
Pivotal to the success of the project, is to accommodate the range of development proposals within a realisable Transportation Strategy. This will involve a much more sophisticated approach that improving existing roads, building new ones and providing car parks. Such an approach will definitely not find favour with the relevant highway authorities. The modern acceptable approach is to approach public accessibility from the context of sustainable modes of transport, assessment, choice, alternative options, mitigation and avoidance of effects.
When the project reaches the stage of an outline planning application, in due course and following the LDF process, a major constituent part of the submission will be a Strategic Transport Assessment (STA).
44 There will undoubtedly have to be improvements to support extra travel and servicing demands created by the BSF concept, but this will have to be very carefully assessed and planned by phases of development over a potential 20 year lifetime of full realisation of development. At this stage one cannot hope to predict how this proposed scale of development activity will be served or in what way without professional technical analysis, liaison and development.
An STA will amongst a very extensive brief will include an initially agreed scope of assessment with the Highways Authorities. This will certainly include a report on existing conditions, a survey of public transport and local accessibility options, a prediction of traffic generation by scenario development and phasing, mitigation methods like travel planning, demand management and sustainability plans like park and ride and internal sustainable travel eg. Electric buses or a tram system.
45 Appendix One
Critique of original Blue Sky Forest proposals
The KPMG feasibility report sought to propose a development at the BSF site in which the attractions located there offered something different from the current tourism offer, attempting to plug the gaps and shortages identified by the various strategies above. A critical review of the Blue Sky Forest feasibility has been tackled in two ways: first, an assessment of the overall approach and method of study, and second a review of the individual components, i.e. proposed attractions for Blue Sky Forest.
3.1 Approach and Methodology
The KPMG report is set out in nine main chapters dealing respectively with: - Blue Sky Forest (BSF) concept - Site evaluation - Market analysis - Regional & local tourism/leisure supply - Comparable developments - Operating and financial evaluation - Developer and operator initial levels of interest - Project delivery options - Conclusions and recommendations
This is a comprehensive assessment, with a coherent sequence in which the concept or vision is first explained, and the physical setting is described, with general description of size, ownership, topography, access, geotechnical characteristics, and planning background. The report proceeds to examine available markets, both residential and tourist visitor, including foreign visitors, with a summary of implications. It then describes the tourism supply side – attractions and accommodation – to put into perspective the BSF proposals and the existing competition. This is followed by a reasonably detailed analysis of the characteristics (development cost, visitor numbers, charges, operating performance etc) of comparable developments in the UK, and in some cases, abroad. That is extended with an attraction-by- attraction appraisal of operational and financial parameters using assumptions about actual development cost and usage, and an assessment of economic benefits, specifically direct and indirect employment. The concluding chapters examine developer and operator interest in the proposed attractions, how the project might be delivered, including possible sources of funding, and set out conclusions and recommendations, including project risks.
The case studies of comparable developments provide a practical appreciation of how they would work and the chapter describing approaches made to individual investors and operators, to assess their level of interest in setting up in Blue Forest, is equally practical.
The degree to which the report may be said to have gaps may be related to the original Terms of Reference, which we do not have. The following are noted:
• there is no background on local economic conditions, hence it is difficult to assess the impact of economic benefits locally; • while geotechnical information is provided, there is sparse description of infrastructure requirements, especially new road access, which is carried through to the financial appraisals, i.e. infrastructure costs (road access, remedial ground preparation and contingency fees) are excluded; • possible commercial attractions like a theme park were excluded from consideration (along with non-tourism activities) as being inconsistent with the vision for BSF. While the reasons for this are understandable, such exclusions may undermine viability; • the focus on revenue generating attractions led to the omission of the tourism potential of the surrounding area, which has significant natural attractions like Druridge Bay, and potential linkages to the main site attractions; • the study paid limited attention to the wider tourism context – how it would fit into and contribute to the regional tourism offer, and how its thematic role related to the tourism market;
46 • the report recognises that the market for BSF attractions will be based on both residential (catchment area) demand and tourism (overnight visitors) demand, but the respective contribution of each to any of the proposed attractions, e.g. split of annual visits, is not shown; moreover tourism demand is defined as day trips of tourists to BSF rather than, or as an addition to, tourist demand in terms of overnight stays at the complex itself.
Local economic conditions may have been described as a context to the original study, but the omission of infrastructure costs from the financial appraisal gives an optimistic impression of viability. However, they are at least flagged up, unlike the [issue of] attractions of the surrounding area and how these might be linked to the Blue Sky Forest project. Given the strong countryside marketing image for tourism in Northumberland (“Coasts and Castles” etc), this appears to be a significant gap. Individual components are reviewed below.
3.2 Indoor Snow-Ski Centre
Review The Tamworth SnoDome (West Midlands) was analysed as a comparable for Blue Sky in the KPMG report.
Characteristic s: Capital cost: £12m (1994) Site: 12 acres – 8,400 m2 built area incl. retail outlets, 650 parking spaces Length of main slope: 170m Visitors pa: 500,000 – 400,000 skiers, 100,000 spectators Peak periods: Same as main ski season. Must be able to attract “leisure” market with other offers outside of peak periods. Key aspects: 1hr drive from sizeable catchment areas, good road/rail access to site, target-market - leisure visitors and experienced skiers/boarders warming up/practising before holiday, anchored by specialist retail and other retail to off-set capital costs
Since the SnoDome was built a longer indoor-ski slope has opened in Castleford, Leeds. The Xscape slope is 190m long, built at a cost of £35m and sharing similar operating characteristics as SnoDome. The original proposal in 2004 included the development of an indoor ski slope with an initial cost estimate of £70,000,000 based on a built area of 100,000sqm at a development cost of £700 m2.
Analysis: In total there are four indoor-ski slopes in England: SnoDome in Tamworth, Chill Factor in Manchester, and Xscape in Milton Keynes and Leeds. Their operational sustainability is reliant on the following:
1. Proximity to day leisure market - located within 1 hour’s drive of significantly large urban catchment areas. 2. Access - good road links to their sites. 3. Capital cost off-sets – major retail and other leisure activity offers to capture additional consumer spend and enhance/spin out slope-related activity.
The key difference between these indoor ski slopes and the one suggested by KPMG is the catchment area. There are far less residents within 1hour’s drive from the Blue Sky Forest site than there are around the indoor-ski sites in Tamworth, Milton Keynes and Leeds:
Indoor Snow-Ski Centre Catchment Area SnoDome, Tamworth Leicester, Birmingham, Telford, Northampton, Derby. Stoke on Trent Xscape, Castleford Leeds, Bradford, Huddersfield, Sheffield, Manchester, York. Xscape, Milton Keynes Oxford, Cambridge, London, Nottingham, Leicester, Coventry, Birmingham Chill Factor Greater Manchester, Merseyside, Cheshire BSF proposal Widdrington Tyneside, Wearside
47 These conurbations serving the existing indoor centres total several million and yet visitor numbers, as demonstrated by Tamworth SnoDome, total only half million. The Manchester snow centre Chill Factor is understood to have experienced some financial problems.
In contrast to the existing four indoor centres, the only city close to the site of the original BSF real snow attraction proposal at Widdrington is Newcastle, making an even more limited day leisure market.
BWA contacted two major indoor-ski operators in May 2008 to gauge their interest in establishing an operation at the BSK site: Capital & Regional (owners XScape) and SnoDome. Capital & Regional did not express any interest as the North East of England is out of their development and expansion plan. SnoDome expressed an initial interest and requested further information but have to date not expressed any further interest. This could suggest a lack of attractiveness of the region for developing indoor snow ski slopes. All in all it is unlikely an indoor snow-ski centre will be feasible at the BSF site.
3.3 Adventure Centre
Review Adventure Centres come in various shapes and sizes and typically include activities such as climbing, shooting, abseiling, pot-holing, orienteering and kayaking to name a few. Most of the activities on offer are out-door pursuits making the market for adventure activities a seasonal, weather-dependent one. Visitors are either on a day visit or a short break. Accommodation provided varies but generally ranges from basic to reasonably comfortable and provides for self-catering, full or half board.
The emerging alternative to these traditional outdoor adventure centres is that of indoor adventure centres which are now reflecting the change in lifestyles and capabilities in technological advances. One such centre was examined by the original KMPG report – Venture Xtreme which was scheduled to start construction near Rother Valley Country Park in 2009. The centre, the largest of its kind in Europe, recreates the natural environments under cover and offers water, wheel, snow and vertical high- adrenaline sports. Various reports including Mintel7 point to the growing interest in adrenaline/extreme sports prompting the centre’s ethos as one of “try-and-buy” for beginners as well as providing for ardent enthusiasts and professionals. The sports offer is supported by retail, including specialist/branded products, and various types of accommodation – hotels to self-catering apartments, as well as conference facilities, a lecture theatre and cinema and exhibition space in a high-tech, cutting-edge environment.
This centre is one of 6 proposed centres, (a second smaller one currently aimed for East London) to be located in urban and brownfield areas as well as semi/rural locations which intend to animate and use local geographical features .
Characteristics: Capital cost: Overall project £270m (2007). Main sports building substantially less. Site: 320acres (130 ha) inc. extreme sports centre, major indoor entertainment facilities, four star resort spa and conference hotel, golf range, restaurants, bars, cafes, features and festival retailing. Visitors p.a: 3-5 million based on a ratio of 5:1 spectators: participants Peak periods: Fairly constant Key aspects: 1hr drive from sizeable catchment areas, good road/rail access to site, target-market - business market, leisure visitors, spectators and experienced enthusiasts supported by specialist retail and other retail to off-set capital costs Employment: Dependent on scale of ancillary development (Rotherham potentially 2,000+)
Analysis The centre planned near the Rother Valley Country Park shares the catchment areas of the Xscape indoor now ski centre in Castleford, Leeds and the northern part of the Tamworth SnoDome catchment area, ensuring a very strong local market and public transport network indeed. Given the cost of the build, this type of location and associated catchment and travel area is crucial. The estimated figures of 3-5m visitors a year has no comparable basis in the UK. Such figures have been modelled on equivalent centres in the US.
7 Extreme Sports, Leisure Intelligence, Mintel, 2005
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As with the indoor snow ski slope, the catchment and travel area is again an issue for such a costly development at Widdrington. The day visitor/local leisure market would be rather smaller than that of the Rother Valley centre. As for longer visits, given the novelty of such a development as well as its ability to plug the gap in the tourism offer stated in 2.3 above, supported by the various sub/regional policies, it might be able to draw a significant portion of short-break and business visitor market share to justify costs while considering a scaled-down version of the Rother Valley development. Considerably more remote attractions, like the Ice Factor climbing centre at Kinlochleven near Fort William have managed to attract more than 130,000 visitors per year, and that is for a single main activity. The large multi-sport covered adventure centre is thus considered to be a viable option for the BSF site.
Competitors None within the regional catchment.
3.4 Holiday Village
Review The KPMG report provided a brief overview of the holiday centre market, dividing it into 3 distinct categories; holiday parks, holiday centres and forest villages. The first two of these are common in the North East and tend to target the lower-end of the holiday market. Accommodation varies from budget caravan to chalet-style and are either self-catering, full or half-board and provide leisure activities and amenities for “all the family” mainly out-doors with evening dining and entertainment under-cover. As a result, these are all dependent on good weather for reasonable occupation. There is no market gap or shortage of this kind of development in the area which, anyway, is too “low-end” for the professional, middle-class target market sought for by Blue Sky. Consequently, KPMG focussed on the concept adopted by Center Parcs as a potential development for BSF.
The signature feature of Center Parcs is its large dome within which is contained a core element of its leisure offer (tropical pool etc), off-setting the problem of seasonality, whilst still maximising the natural and rural assets of its location. The village comprises quality cabin/lodge style accommodation with multiple sports and activities available and a range of cafes and restaurants. It is aimed at the higher-end of the leisure market for families, typically visiting for 3 and 4 day breaks, and the established Center Parcs villages enjoy a year round high occupancy. Center Parcs has four “forest villages” in the UK and is building a fifth. The nearest to the BSF site is the one in Whinfell Forest, Cumbria.
Characteristics: Capital cost: £140m (2004 KPMG report) Site: 170 ha Accommodation:750+ villas/apartments Visitors pa: 1.1-1.3 million Peak periods: school holidays Key aspects 2-3hr drive from catchment areas, provision of key leisure activities under all-weather dome Employment: 1,000 approx (including many PT)
Analysis The holiday village concept would provide a staying visitor market for the BSF attractions and plug a gap in the local tourism market, particularly in redressing seasonality. As highlighted in 2.1 and 2.2 above seasonality is a key problem for the tourism market in the region. However, the Whinfell Forest Center Parc is 2 hours and 15 minutes drive away from Widdrington and 1 hour and 50 min drive away from Newcastle. This means the BSF site and it’s potential catchment area falls within that of Whinfell Forest as far as Center Parcs is concerned, i.e. the leisure market in this part of the UK is “covered” by Center Parcs already. This probably explains why they declined to express an interest regarding the original BSF development proposals when contacted, repeated upon contact by the Consultants in 2008. Further the company has stated publicly that it considers that the eventual five CP holiday villages will provide complete national coverage for its development model. The consultants queried senior managers as to whether a “Center Parcs Lite” development (smaller and less costly with users able to access other attractions) would be of interest, but it would not be at the present time.
49 The Center Parcs prospect for BSF is thus discounted, and there are few alternative companies providing similar facilities. One which has been developed is the Bluestone Holiday village in Pembrokeshire, west Wales, planned along similar lines. To date only 185 of the planned 335 holiday lodges have been constructed and the village, which only opened in the summer of 2008, has had considerable teething troubles. Not surprisingly, when contacted the owners said they were too preoccupied with operating their existing facility to contemplate similar investment elsewhere. 8 The consultants have also been in touch with Hoseasons, who expressed interest at the time of the original KPMG study. This company acts an umbrella marketing organisation for holiday villages, rather than developing its own. However, they felt that the BSF concept was attractive and were willing to contact potential investors.
An all-seasons holiday village with high-quality accommodation and all-round leisure and entertainment provision is considered to be an important potential ingredient of the Blue Sky concept. It supports the staying visitor base of the proposed complex while plugging a gap in the region’s tourism offer - so long as such a development can be financially viable and sustainable.
Competition: The existing Center Parcs village in Cumbria.
3.5 Hotel Resort with Golf Courses
Review Unlike other key components of the BSF complex, at least the Adventure Centre and Holiday Village, the hotel-golf resort was proposed to be sited in the southern, Stobswood open cast site in Widdrington. The land requirement is quite extensive, the nature of the development is distinctive, and this location remains the natural one for it.
The KPMG report looked at three golf resort hotels as comparables for the BSF site: Celtic Manor in South Wales, Marriott Forest of Arden in Birmingham, De Vere’s Belfry in North Warwickshire. The characteristics of these comparables are averaged out as below. The investigation into the public golf course only went so far as to say that of the 33,000 rounds of golf played on it, 5,000 would be played by hotel guests.
Characteristics: Capital cost: 4* hotel with 150 bedrooms, £125,000/bedroom - £18.75m (2004) International standard 18-hole golf course with private members clubhouse, driving range - £5m. Public golf course - £1.5m Site: Not estimated Guests/Visitors pa: Hotel, based on 70% occupancy rate of 1.4 people/bedroom - Total. p.a. 53, 655 (based on KPMG 2004 report) Public golf course, based on rounds of golf played by non-hotel guests – 28,000 rounds
Analysis:
Golf Resort Hotel For the type of resort attraction proposed in the original BSF study, a large operator would be needed. The only operators in the market able to provide the kind of offer sought for by Blue Sky Forest appear to be MacDonald (already established in the area) De Vere’s and Marriott. All three operators offer very similar facilities and packages but their geographical spread varies. MacDonald is focussed mainly on the Scottish market with only 3 resorts in England, De Vere’s has 1 in Scotland and 10 in England while Marriott only 1 in Scotland and 13 in England.
An analysis of golf courses within 50 miles of Blue Sky Forest was undertaken by the consultants, see Appendix 1. Of 50 courses identified, only 3 incorporate hotel accommodation, Linden Hall (MacDonald), Slaley Hall Hotel and Golf Club at Hexham (De Vere), and Close House Country Club at Heddon on the Wall. The figure in Appendix 2 shows the location of these golf resort hotels and other golf course in the region.
8 It also needs to be borne in mind that Bluestone received significant financial assistance from the Wales Assembly.
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Competition: MacDonald has an offer in the area only 8.5 miles away from the Blue Sky Forest site. De Vere’s Slaley Hall is 44 miles away. The Marriott’s nearest golf resort hotel is 105 miles away in Edinburgh and 118 miles away in Shipley, Bradford. Table 3-1 shows facilities in major golf resorts.
Table 3-1 Golf resort operators in northern England and Scotland.
Operator/hotel Rooms Facilities Golf Offer MacDonald: Linden Hall 50 Indoor Pool and Spa, Sauna & 1 Championship golf course Steam; Conference, Training and Meeting rooms De Vere’s: Slaley Hall 142 Indoor Pool and Spa, Sauna & 2 Championship golf courses Steam; Conference, Training and Meeting rooms Marriott -Edinburgh: 203 Indoor Pool and Spa, Sauna & 2 18 hole Championship golf Dalmahoy Hotel & Steam; Conference, Training courses Country Club and Meeting rooms Marriott- Bradford: 122 Indoor Pool and Spa, Sauna & 1 Championship golf course Hollins Hall Hotel & Steam; Conference, Training Country Club and Meeting rooms Source: consultants.
Unlike MacDonalds and De Vere, the Marriott does not own and develop its resort hotels and golf courses. Its business model is based solely on the management of the hotels and golf courses on behalf of the resort owner, as is common practice highlighted in the original KPMG report. Marriott currently manages 12 golf resort hotels and is seeking to continue expansion of this particular line of business which they believe has further potential for growth. Marriott have stated that if a developer could be found they would be interested in Blue Sky Forest but have a key reservation . The Marriott Hotel chain contacted by the consultants provided this response:
“Marriott is the world’s largest golf resort management company and currently operates 45 resorts, inclusive of 60 golf courses and approximately 1.6 million rounds of golf, in 13 countries. This includes 12 golf resorts incorporating 17 golf courses in the UK and Ireland at this time. Each of the 12 resorts includes a championship standard golf course and amongst them are such prestigious operations as St. Pierre in Chepstow, Forest of Arden in Warwickshire and Dalmahoy in Midlothian.
Marriott firmly believes in the long term potential of the UK golf resort market and, as a result, is keen to establish a further presence for its golf resort operations on a selective basis throughout the UK. To that end and assuming a management structure whereby Marriott manages the completed hotel and golf course on behalf of the hotel and golf course owner, the opportunity in Northumberland could be of interest. This assumes of course that the hotel and golf would be developed to a Marriott compliant standard. My one note of caution would be, as we discussed on the phone, this type of hotel can be very difficult to make economic sense on the basis that the capital costs are intense and the seasonality of demand pronounced.”
(Email received from Tim Walton, Vice President Development, UK & Ireland, Marriott Hotels International Ltd, 86 Fetter Lane, London.)
Membership and public golf courses There are a myriad of golf clubs with varying offers in and around Widdrington - 56 in Northumberland of which 14 are located less than 20 miles from UK coal site 9. See Appendix 1 for geographical spread and membership details. 14 of these were contacted in order to gauge interest in the project. 3 out of 14 agreed to be interviewed 10 ; here we report some main findings.
9 www.englishgolf-courses.co.uk
10 Burgham Park Golf and Leisure Club, Longhirst Hall Golf Club, Newbiggin by the Sea Golf Club
51 Although one out of the three interviewees said that there is space for more members (around 200 more), all agreed that they did not see enough demand for developing a new ‘standard’ golf course. Interviewees stated that there is a wide range of golf courses within 15 miles and they are enough to satisfy the current demand. Furthermore, they highlighted the shortage of younger generations taking up this sport, which indicates a potentially decreasing demand in the future. From the interviews, it also emerged that some local golf courses are currently struggling financially.
3.6 Observation Tower
Review In the original feasibility report, KMPG divided observation towers into three types; observation towers, destination towers and working buildings. The latter speaks for itself. Destination towers offered retail and dining facilities as well as viewing platforms and performing as iconic landmarks. The first of these is purely a viewing platform and landmark. The report considered the Portsmouth Spinnaker Tower as a comparable for the BSF site, a purely observation tower.
Characteristics: Capital costs: £35m Height: 165m Visitors p.a.: 400,000 Peak periods: - Key aspects In/close to urban area and other visitor attractions at Gunwharf Quays with its nearby retail and entertainment offers Employment:
Analysis: In analysing the feasibility of the tower, BWA interviewed Nigel Hosier, Visitor Service Manager of the Spinnaker Tower, and collected some information on annual attendance, annual revenues and costs, see Table 3-2. This information was used to build a financial appraisal model for this attraction (Appendix 3) . The same model has been used for estimating the financial feasibility of an observation tower within the Blue Sky Forest project.
Some of the figures are presented at year 3, corresponding to when the facilities open to public.
Table 3-2 Characteristics of Portsmouth Spinnaker Tower and proposed BSF observation tower
SPINNAKER TOWER
VALUE SOURCE Capital costs (£m) 35,000,000 interview Operating costs (per year) 1,500,000 interview Annual revenue at year 3 3,000,000 interview No. of visitors at year 3 400,000 interview Revenue per visitor £7.5 BLUE SKY FOREST OBSERVATION TOWER (projected)
VALUE SOURCE Capital costs (£m) 18,200,000 KPMG report Operating costs (per year) (£) 682,500-910,000 KPMG report Annual revenue at year 3 (£) 1,150,000 KPMG report No. of visitors at year 3 150,000 KPMG report Revenue per visitor £7.7
52 The model assumes a decreasing number of total visitors due to a diminishing number of residents willing to experience the observation tower after the first year. In terms of tourists, the model assumes constant figures for the 15-year period under analysis.
The KPMG study provided an illustration of financial performance in operational terms (showing a surplus) but did not examine financial feasibility, taking account of capital costs. BWA have prepared an outline assessment using a Treasury discount rate of 6% and a residual value at year 15 equal to 3 times the net profit. In both cases the models show a significant loss. See Appendix x for financial analysis. Considering, first, that the capital cost of the proposed Blue Sky Forest tower might be on the low side, and second, that there is zero prospect of similar Millennium Lottery funding to the Spinnaker Tower (or any other public funding) the Observation Tower idea is a non starter.
Summary
The three main visitor attractions in the original BSF proposals were the indoor ski centre, the adventure centre, and the holiday village. They have some similarities in terms of catchment requirements but the holiday village has a distinct market profile, being dependent on overnight, tourism demand. In contrast the adventure centre and indoor ski centre – while assisted by an overnight tourism market - require a substantial day visitor market based on resident population within an hour or so’s travel time.
The second, and very important, consideration is the availability and suitability of operators. Center Parcs is uninterested and as there are no direct equivalents that particular model of a holiday village is a non starter. The consultants’ inquiries indicate that the few operators of indoor ski slopes in the UK require major complementary retail or residential development to make the ski slope viable – of a scale altogether too large to be feasible in the Widdrington setting. This development appears to be similarly unviable.
The third major proposed attraction, the (indoor) adventure centre, is more promising. These facilities have yet to be built in the UK but have been developed successfully in the USA and two proposals, in London and Yorkshire, are at an advanced stage. The main developer, contacted by the consultants, considers that the Northumberland location close to the Tyneside conurbation could be viable. The relatively new leisure concept, the growing taste for extreme sports and the rugged image of Northumberland all contribute favourably to the prospect.
Of the remaining two original major BSF proposals, the standard golf resort hotel proposal (i.e. 5 star hotel based) has questionable current viability, although golf itself may have potential. The Observation Tower is not viable and has little likelihood of ever being so.
The review accordingly concludes that the adventure centre concept is the only one of the five original major facilities/attractions with any realistic prospect. The two adventure centre projects in the pipeline are nevertheless anchored by substantial ancillary development – whether retail and restaurants or residential, even though not on the same scale as the indoor ski centres. Similar ancillary development can be envisaged at Widdrington. Nevertheless, the adventure centre would be more risky as a standalone development than if integrated with other attractions. Accordingly the next stage of the study considers what these might be and how they might contribute to a revised and viable alternative development concept for Blue Sky Forest.
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