esco is the favourite over Sainsbury’s to build a multi-million pound supermarket in Wolverhampton, the Express & Star can exclusively reveal.
A leaked document shows council officers are backing Tesco’s bid for the 20-acre Raglan Street site in Graiseley - because the company is threatening to shelve its £14 million revamp of the former Royal Hospital site.
The recommendation is likely to outrage Sainsbury’s as the retail giant owns 86 per cent of the site and could now be forced to hand it over to rival Tesco, which owns a tenth. Wolverhampton City Council owns the remaining four per cent.
The report states Sainsbury’s has more store space than Tesco in Wolverhampton and, while Tesco is promising around 650 jobs in the area, the Sainsbury’s development would only bring in around 250.
Tony Wood, head of property services at the council, which is meeting in private tomorrow, said: “It is clear that Tesco are unlikely to carry out their scheme unless they are selected as the operator of the store at Raglan Street.
“Tesco has indicated that if they are not selected they would not be prepared to sell the Royal Hospital site and would seek a more commercially attractive planning permission.”
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10 Comments
I prefer tesco to sainsburys and we already have ample sainsburys around the town but i dont like the way tesco blackmailed the council over the royal site.
I think Tescos should get it they are putting a huge amount of money in to the Royal Hospital site and not getting anything in return. Of course they will pull out if they don’t get the Raglan site there is no reason for them to invest otherwise.
The council put forward the line that this is nothing to do with them, though. They say that both supermarkets have planning permission and both own portions of land, so there’s nothing they can do to move things on.
I sincerely hope that we don’t see movement here soon. The former Rover dealership in Chapel Ash is finally subject to compulsory purchase, so let’s hope the eye sore of Raglan St is rectified soon.
It would seem this is the better option given the stranglehold JS seems to hold over shopping in Wton.
Perhaps JS should take a look at the Royal Hospital site if they want a bigger store…. Perhaps they might enlarge their current wart on the side of St George’s and construct a car park in the bus depot… with a foot bridge between perhaps?
Tesco holding a council to ransom again. I do not think it fair to force a company to sell its assets to a rival as JS will have to. Tesco knew what they were buying when they bought the hospital site. They have bought up other sites recently and put in small stores. I am all for choice but the council is being a push over if they give in.
How can a supermarket hold a city to ransom ? Tesco is blackmailing our city so it can build a new store. It has deliberately created eyesores in the city to put pressure on the council. Tesco should be run out of town and never allowed back. I for one will never shop at Tesco again. Let’s hope the council does the right thing and supports Sainsbury’s.
Not another supermarket. We need this like a hole in the head, how many do we need in a 3 mile radius.
I would much rather see some manufacturing/Engineering units generating some real wealth not min paid jobs!
About time the future of this site was settled.
Sainsbury propose building in Wombourne, which will draw customers from Penn district.
Tesco are to lose their site in the Mander Centre.
The logic is to offer Raglan St site to Tesco—offering competition to JS - BUT on condition they now get on with the project speedily.
This needs to be sorted soon. I live near the Royal Hospital site and work was meant to start there at the end of last year so far nothing has happened. If Tesco dont get the Raglan site and pull out of the Royal Hospital regeneration we will have to wait years for anything to happen. Give it to Tescos for the good of the city!!
6. Mike. Totally agree. What Tesco have done is bullied the council by saying “give us Raglan Street or we’ll pull out of the Royal Hospital”.
Diabolical, ruthless and shrewd behavior from Tesco, but I guess that’s why they’re Britain’s biggest and most profitable retailer.
I am glad though that both these eyesores will soon get the attention the desperately need.