Item 6 Shipbank Lane
Shipbank Lane : Proposed Regeneration ProjectPurpose of Report:
To advise Committee of the continuing problems of crime and anti-social behaviour in the
Shipbank Lane area (Paddy’s Market) of the city centre, and of the opportunity to resolve these
through the Council taking over the lease of the relevant properties and developing the area as an
extension to the Merchant City Cultural Quarter.
Recommendation:
That Committee authorise the Executive Director of Development and Regeneration Services to
enter into negotiations with Network Rail with a view to the Council taking over the head-lease of
the railway arches and adjacent property at Paddy’s Market for a combination of uses by the City
Council and sub-leasing to appropriate arts and business organisations.
1. BACKGROUND
1.1 The quality of the city centre as a place to visit, work and live has increased significantly
in recent years. Investment in the public realm and lighting, new and proposed
commercial and residential developments, including significant amounts of retail
floorspace, have and will continue to contribute to an improved range of facilities and
enhanced environmental quality in the city centre. The improvement has been
particularly evident in the Merchant City where a range of investments undertaken within
the context of the Merchant City Action Plan have led to a significant improvement in the
public environment, an increased in the scale/range of property investment, and a steady
growth in the local business base.
1.2 Despite these improvements, crime and anti-social behaviour continues to be a
significant problem in that part of the ‘wider’ Merchant City known commonly as Paddy’s
Market (centred on Shipbank Lane). For many years, Paddy’s Market provided an outlet
for legitimate second hand goods, and fulfilled a useful social role as a low cost retail
market. More recently, however, the area has become the subject of escalating levels of
criminality - including drugs offences, acts of serious disorder, the sale of stolen / reset
property, the sale of counterfeit material, and the sale of contraband (alcohol and
cigarettes). Criminal activity and anti-social behaviour related to the Paddy’s Market area
is considered by the Police and Glasgow Community Safety Services to have an
extremely detrimental impact on surrounding residential areas, and problems being
particularly acute in the lower Saltmarket area. All of these issues increase the difficulty
of ‘turning round’ this area – and threaten to undermine the investment the Council is
making in the Merchant City.
1.3 Police records indicate that in 2005 / 2006 there were 314 drug possession cases,
268 breaches of the peace, 29 robberies, 96 thefts, 89 simple assaults, 46 cases of
Police assault/resisting arrest, and one attempted murder in the Paddy’s Market area.
2. INFORMATION
2.1 The railway arches at Paddy’s Market are owned by Network Rail. The properties are
leased to a range of individuals and businesses on an annual basis, with a common
lease renewal date at Whitsun. Network Rail currently receives approximately £130,000
per annum in rental income.
2.2 As noted above, the area has experienced a particularly high level of crime. Policing the
area has, however, proved difficult in view of its geographical characteristics and the
nature of the crimes committed. To help address matters, an exclusion zone has been
agreed between the Police and the Procurator Fiscal around Paddy’s Market. Anyone
committing more than one offence over a fixed period of time within this area is
recognised as a persistent offender and is excluded from entering the area. If such an
individual is caught within the area, they can be arrested immediately. This is, however,
complex – and expensive - to enforce.
2.3 Addressing the problems in the area is estimated to give rise to operational costs which,
in 2006/07 totalled £277,000. This consists of Police costs of £95,000, Customs and
Excise costs of £42,000, and Federation Against Copyright Theft costs of £30,000. Costs
to the City Council amount to £110,000 (£80,000 in cleansing costs and £30,000 in
trading standards costs).
2.4 The development and regeneration of the south east sector of the city centre and the
immediate area adjacent to Paddy’s Market is gathering momentum. Proposals have
been put in place for the Customhouse Quay Gardens area. The St Enoch Centre
redevelopment involving an additional retail floorspace and the development of leisure
facilities is currently on site. The St Enoch East site, which currently operates as a car
park, has recently changed ownership, with the new owners indicating that they wish to
develop the site and anticipate being in a position to start discussions on their proposed
development in early 2009. Immediately adjacent to Paddy’s Market, the Briggait is
scheduled to be converted into studio space for artists. In addition to this, the Merchant
City Townscape Heritage Initiative area has been extended to include the area south of
Trongate, stretching towards the River Clyde. In this context, it is intended, as part of the
THI Five Year Action Programme, to undertake streetscape works to improve the lanes
adjacent to Paddy’s Market.
2.5 These development proposals indicate that in the near future the south east sector of the city
centre will start to play a significantly more important role in the area’s economic activity as
new facilities are brought forward. Within this context the Arches present a range of
opportunities. For example :
• To meet potential operational requirements of the Council and Glasgow
Community Safety services.
• Replacement storage space is required for the Council Christmas lights.
• A range of artist’s organisations could potentially be interested in sub-letting the
space in the event that the Council does not require all the arches
accommodation.
• There is potential to develop part of the arches complex for a high quality
weekday or weekend market to be operated by the City Markets LLP.
2.6 The savings and income associated with these uses could make a significant offset
against the costs of the lease.
3. WAY FORWARD
3.1 Discussions with Network Rail have indicated that it should be possible to secure the
lease of the Paddy’s Market area at a rental considerably below that charged to the
existing tenants. This reflects a recognition by Network Rail of the problems that exist in
the area, and their corporate ‘social responsibility’ to help resolve them.
3.2 It is considered that acquiring the lease on the basis indicated above would provide a
longer term solution to the problems currently experienced in the area than coordinated
action by the Police and other public organisations. To date, these have simply had the
effect of removing the problem for a short period of time before high levels of criminality
have returned to the area.
4. CONCLUSIONS
4.1 The acquisition of the Paddy’s Market lease by the City Council should enable the
problems of criminality in the Paddy’s Market area to be eliminated. The space would
provide a valuable asset from an operational point of view to the City Council and would
enable an existing property to be released and realise a capital receipt. Most importantly,
tackling the criminality in this area would enable the Paddy’s Market area to once again
play a useful and legitimate role in the city centre, with uses that compliment those
proposed for the adjacent area.
5. SERVICE IMPLICATIONS
Financial - see above.
Legal - a lease with Network Rail would require to be put in place for the
arches.
Personnel - none.
Service Plan - improving the environment of the Paddy’s Market area
contributes to the aims of Service Priority 6.2, the City Centre
Action Plan.
Environmental - none.
Development and Regeneration Services
SI (095-08)
13 March 2008