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Assessment of Impact on Blackpool Town Centre

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Assessment of Impact on Blackpool Town Centre Blackpool Town Centre Potential Foodstore Allocation - Assessment of Impact on Blackpool Town Centre on behalf of Blackpool Borough Council February 2020 Contact Eastgate 2 Castle Street Castlefield Manchester M3 4LZ T: 0161 819 6570 E: [email protected] Job reference no: 34257 Discount Foodstore, Blackpool Town Centre Assessment of Impact Contents 1.0 Introduction .................................................................................................................................................................................. 4 2.0 Background to the Project ...................................................................................................................................................... 6 3.0 Relevant Planning Policy ....................................................................................................................................................... 11 4.0 Update to the Baseline Position......................................................................................................................................... 20 5.0 The Impact Assessment ......................................................................................................................................................... 28 6.0 Implications on Blackpool Town Centre ......................................................................................................................... 32 7.0 Summary and Conclusions ................................................................................................................................................... 43 Appendices Appendix A: Updated Quantitative Capacity Tables ................................................................................................................ 45 Appendix B: Impact Assessment ...................................................................................................................................................... 46 Appendix C: Blackpool Town Centre - Vacancy Plans ............................................................................................................. 47 Blackpool Borough Council 3 Discount Foodstore, Blackpool Town Centre Assessment of Impact 1.0 Introduction Instruction and Scope 1.1 Nexus Planning has been commissioned by Blackpool Borough Council (‘the Council’) to undertake an assessment of the potential implications of allocating a site in the northern part of Blackpool town centre, adjacent to the Talbot Gateway Central Business District, for the development of a discount foodstore. The commission follows the recommendations made in the Blackpool Retail, Leisure and Hotel Study 2018 (the ‘2018 Study’), identifying the potential to provide an additional foodstore towards the northern periphery of Blackpool town centre should a site within or on the edge of the centre become available. 1.2 The purpose of this assessment is to provide the Council with the evidence to understand the implications on Blackpool town centre, should the preferred approach be to allocate a site for Class A1 convenience uses within the town centre boundary. 1.3 We will seek to establish the potential quantitative and qualitative impact considerations, based on our knowledge of the performance, offer and nature of the town centre, and on our overall knowledge of the commercial market and how convenience operators trade in practice. Structure of Report 1.4 Accordingly, our report is structured as follows: . Section 2.0 – sets out the background to the commission, and a summary in respect of the commercial market; . Section 3.0 – provides a summary of the relevant planning policy and findings from the 2018 Retail Study; . Section 4.0 – provides an update to the baseline position, including an update of the healthcheck of Blackpool town centre and an update of the quantitative capacity model from the 2018 Study, incorporating the latest available Experian data; Blackpool Borough Council 4 Discount Foodstore, Blackpool Town Centre Assessment of Impact . Section 5.0 – summarises the methodology adopted in respect of the impact assessment, and the key findings; . Section 6.0 – provides our overall summary and conclusions. Blackpool Borough Council 5 Discount Foodstore, Blackpool Town Centre Assessment of Impact 2.0 Background to the Project Background to the Commission 2.1 The Blackpool Retail, Leisure and Hotel Study 2018 (the ‘2018 Study’) was published by the Council in 2018. The 2018 Study drew on empirical evidence in the form of a telephone household survey also undertaken in 2018, and sought to provide an analysis of the current shopping and leisure patterns of residents across the Borough, along with an assessment of the vitality and viability (the health) of the Borough’s defined centres. 2.2 The Study also looked at whether there is a quantitative and qualitative need for additional retail and leisure facilities within the Borough, having regard to the level of expenditure available, whether some of this expenditure is being spent at destinations outside of Blackpool (known as ‘leakage’) and whether there is a ‘gap’ in provision when reviewing the presence of the larger foodstores (i.e. those which measure over 1,500 sq.m gross). 2.3 In undertaking the review of convenience provision in the Borough, it was also important that a consideration of the demographics of the local population of Blackpool was included to establish whether a particular type of convenience operator was under-represented in Blackpool. 2.4 In particular, turning to the conclusions of the 2018 Study, paragraph 10.5.6 stated: ‘Based on the findings above, we are of the view that there could be the potential to provide an additional foodstore towards the northern periphery of Blackpool town centre should a site within or on the edge of the centre become available. We envisage that the scale of foodstore appropriate would fit within the 1,500 to 2,500 sq.m (gross) bracket, ensuring that the turnover of which would not untenably impact on the existing Sainsbury’s foodstore at Talbot Gateway. Any additional floorspace would need to ensure that it complements, rather than competes with the substantial investment made at Talbot Gateway in the delivery of the Sainsbury’s, whilst seeking to attract shoppers and residents of Zone 1 back into the town centre, instead of travelling to other foodstores in Zone 5 to meet their shopping needs. As such, in order to claw the expenditure back into the town centre, any retailer would need to provide an offer different to that which is already provided, and which seeks to meet the current deficiency in terms of providing lower priced goods. It is important to note that providing another large foodstore or ‘superstore’ (i.e. over 2,500 Blackpool Borough Council 6 Discount Foodstore, Blackpool Town Centre Assessment of Impact sq.m) would not meet this same objective and would instead compete directly with the existing Sainsbury’s.’ 2.5 It is clear from the recommendations that there was a qualitative requirement for an additional foodstore within Blackpool town centre, but that should this be pursued further, a full consideration of the potential impact on existing provision in the centre would need to be explored. 2.6 As such, what is key to the consideration of the potential for a new allocation within the town centre is the requirement to ensure that the existing offer in the centre is protected, through the application of the relevant planning policy tests of both the sequential and impact assessments. Indeed, paragraph 10.5.8 of the 2018 Study stated: ‘Taking this one step further, it is important that any potential development site would ideally be located within the town centre boundary, and whilst it would need to meet both the sequential and impact tests, it would be necessary to consider the wider benefits a new foodstore could provide to the town centre in terms of choice, increased turnover and encouraging linked-trips with the existing uses. For example, a store of between 1,500 sq.m and 2,500 sq.m would require a site of approximately 0.6ha to provide the required floorspace and associated car parking (dependent on its location), demonstrating its relatively small scale.’ 2.7 It is on the above basis that this appraisal has been undertaken, having regard in particular to the requirements of the adopted development plan policies and paragraphs 86, 87 and 89 of the NPPF. 2.8 In addition to the above, a consideration of the potential positive benefits of a discount foodstore in the town centre must also be included, and an exercise of weighing the impacts and positive benefits must then be undertaken not only by us, but also the decision makers at the Council. 2.9 Exploring the full extent of this impact and providing the associated advice as to the wider implications is the principal purpose of this commission. Indeed, if the impact is considered to be at a level which could potentially cause an existing store to close, then this would need to be explored very carefully, particularly given the current state and uncertainty of the commercial market. Furthermore, the town centre is experiencing a positive period of change, with more developments and improvements to come, and this future for Blackpool needs to be protected very carefully. Blackpool Borough Council 7 Discount Foodstore, Blackpool Town Centre Assessment of Impact 2.10 We firstly set out a brief commercial context to the assessment below, which summarises the key economic factors which may have an influence
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