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Agenda Item 5 Sandwell Metropolitan Borough Council Report to the Cabinet Member for Regeneration and Transport 16th November 2005 Historic Soho Foundry, Smethwick (Forward Plan Ref. No. RT035) 1. Summary Statement 1.1 Originally built in 1795 by Boulton and Watt for the construction of their revolutionary steam engines, the Soho Foundry complex is of particular historic interest as the earliest factory in the world, manufacturing, assembling, and commissioning equipment on one fully integrated site. It is largely grade II* listed and much of the site has been identified for scheduling as an Ancient Monument. The restoration of this site is a key element in the regeneration of this part of North Smethwick and will be a central component of the proposed bid for World Heritage Site status for the Birmingham Canal Navigations that is being promoted by the Black Country Strategy. 1.2 Approval in principle was given by the former Cabinet Member for Urban Form in 2004 to acquire the freehold interest of the foundry, on the provision of an exit strategy being in place. Avery Berkel currently owns the freehold and wish to dispose of part of the site including the historic foundry (see Plan at Appendix A), 1.3 As part of their wider ambitions to regenerate an area to be known as “Soho Park”, RegenCo has commissioned consultants to prepare a strategy to indicate how the historic Soho Foundry could be restored and brought into commercial use. This will see the historic foundry buildings as a catalyst to bringing new investment to the area and creating new heritage-based leisure facilities around a re-opened canal basin. 1.4 The strategy is in four stages. The first two stages involve making key buildings wind and watertight. Later stages will bring commercial activity to heritage buildings and the adjacent area. RegenCo has negotiated with Heritage Lottery Fund (HLF) and Advantage West Midlands (AWM) over funding and received support. 1.5 The uses for the historic foundry buildings recommended in their report are based on previous work commissioned by the Smethwick Regeneration Partnership (SRP). The report suggests that once the building has been made wind and watertight and essential infrastructure provided, parts of the buildings can be used temporarily for a wide variety of community activities. After further private investment, suggested commercial uses include a public house and restaurant, an Asian wedding centre, a multi-purpose event space, display space and galleries, small starter business units and heritage-related uses such as an Asian history centre. These findings received favourable support during consultation done by SRP and more recently by RegenCo. 1.6 The two-stage application to HLF will be for £6m and AWM will be approached for £2m, representing a total of £8m. The final figures will depend upon further surveys and investigation. The Director of Planning and Transportation hopes to submit the applications by the end of June 2006, with a stage 1 decision received from HLF in January 2007. 1.7 To deliver the stage 2 applications to HLF and AWM, it is necessary to prepare a business plan, audience plan and architectural plans to RIBA scale C. It will be necessary to make certain parts of the building safe for operators to enter in order to complete these requirements. Audience plans will need to bear in mind the close relationship the foundry has with Birmingham, in particular Soho House. This provides a direct connection with Brindleyplace and the opportunity to draw tourism to the foundry, partly along the canal. Funding for this work will be made available from Urban Regeneration Theme and the Director of Planning and Transportation. An application is to be made to English Heritage for funding to undertake works to enable these studies to proceed. 1.8 It is proposed the HLF and AWM funding will pay for: • Enveloping of retained existing buildings. • Phased full refurbishment of existing buildings with related new extension alterations and necessary infrastructure. • Research and production of a multi-media presentation depicting the "secret histories" of the workers and the communities connected to the foundry. • A programme of training in traditional building and building conservation skills, as well as in digital media skills such as archiving and research. 1.9 Before the second stage of the application process, a further report will be submitted to the Cabinet Member for Regeneration and Transport seeking approval for the Council to acquire the freehold interest in the historic foundry and associated land. 1.10 Discussions have commenced on establishing a Charitable Trust which would take ultimate responsibility for the site. The Prince’s Regeneration Trust is hosting a seminar on this opportunity in the near future. 1.11 The operations of the adjacent Avery Weigh-Tronix site will not be affected by the proposals and negotiations have resulted in a proposed new access road to the historic foundry with associated car parking. Further details are attached for your information 2. Recommendations 2.1 That the Director of Planning and Transportation be authorised to submit an application to Heritage Lottery Fund and Advantage West Midlands for restoration of heritage buildings at Soho Foundry. 2.2 That the Director of Planning and Transportation be authorised to submit an application to English Heritage for £200,000 towards the cost of preparatory works relevant to the HLF and AWM applications. 2.3 That the Director of Planning and Transportation be authorised to instruct consultancies to prepare the documents and surveys necessary for the HLF submission process. In accordance with the authority delegated to the Cabinet Member for Regeneration and Transport, the following course of action has been agreed, which will be set out in the formal record of the decisions taken by the Member: (1) the recommendations above are approved. (2) the recommendations above are approved as now amended. (3) the recommendations above are not approved. _________________________________ Cabinet Member for Regeneration and Transport Date 16th November 2005 Robert A Lee Director of Planning and Transportation John Barton Head of Strategic Finance Peter J Manley Head of Corporate Property Contact Officer Alan Winser Group Planner Planning Development 0121 569 4081 Historic Soho Foundry, Smethwick 3. Strategic Resource Implications 3.1 Avery Berkel currently owns the freehold interest of Soho Foundry and associated land. The company has expressed a willingness to sell the foundry at nil cost to SMBC, together with associated land to allow for car access and parking, and the Mint Building on the canal. The addition of this associated land is essential for the foundry site to be commercially viable once refurbishment is complete. 3.2 Approval in principle was made by the Cabinet Member for Urban Form on 23rd March 2004 to acquire the freehold interest of Soho Foundry, Foundry Lane, Smethwick, on the provision of assessments of liabilities and an exit strategy being in place. 3.3 To deliver the applications to HLF and AWM, it is necessary to prepare a business plan, audience plan and plans for the buildings to RIBA scale C. It will be necessary to make certain parts of the building safe for operators to enter in order to complete the necessary plans. Audience plans will need to bear in mind the close relationship the foundry has with Birmingham, in particular Soho House. This provides a direct connection with Brindleyplace and the opportunity to draw tourism to the foundry, partly along the canal. 3.4 Funding for this work will be made available from Urban Regeneration Theme and the Director of Planning and Transportation. An application is to be made to English Heritage for funding to undertake works to enable these studies to proceed. 3.5 HLF are unwilling to fund work on buildings not in public ownership. To reduce the risk of the Council taking ownership of the buildings and then failing in the bid for HLF and AWM funding, the application process is in two stages. The approval to acquire in principle mentioned above in paragraph 3.2 is sufficient for HLF to consider a stage one submission. If the bid is successful at this stage, some funding will be available to pay for the production of further surveys and a refined business plan. 3.6 Stage 1 approval will indicate the amount of funding to be made available and the conditions that will be attached to the grant. This will enable an assessment of liabilities and an exit strategy to be presented to the Cabinet Member for Regeneration and Transport hopefully in January 2007. 3.7 A workshop is being arranged with Heritage Through Regeneration, part of the Prince’s Regeneration Trust. This will bring together various individuals with experience of setting up and running Charitable Trusts which have taken on the responsibility for managing similar heritage projects. The outcomes of this workshop will be used to assess the requirements for a Charitable Trust being established to take over the management and responsibility for the historic Soho Foundry if the HLF and AWM bids are successful and the Council agrees to acquire the freehold from the current owners. 3.8 An application for further funding from AWM for further work once the restoration has been complete is also being prepared. AWM’s Regeneration Zone has approved in outline the original Soho Foundry project. 4. Legal and Statutory Implications 4.1 The Black Country Study is preparing a Draft Statement of Significance as part of the Birmingham Canal Navigations World Heritage Bid Aspiration, which includes Soho Foundry. This document would ascertain the significance of the canal network to the Black Country and provide a baseline for developing the management plan for the canal network.
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