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PERTH CITY HALL
OUTLINE DEVELOPMENT
      PROPOSAL

A market hall in a market square

         November 2012
Contents



Executive Summary						1

The Project Vision						2

Perth City Market Trust					4

Partners							5

Historic and Cultural Context				               6

Significance of the Building				                7

Proposed Alterations 					8

A Day in the Life of Perth City Market Hall		   13

The Business Model 					14

Community and Stakeholder Engagement 		         15

Next Steps 							16




                                                     ii
EXECUTIVE SUMMARY




Perth City Market Trust's proposal for a Market Hall in a Market
Square for Perth seemed to us to bring into focus the urgent need
to bring life back into the centre of so many UK towns and cities
through bringing People to Place for Purpose.

We believe that a Perth City Market Hall will be capable of both
driving the regeneration of the historic centre of Perth and in
doing so to stimulate building of the Perth community through the
local creation, circulation and re-investment of economic value.

“Perth City Hall is a building of great architectural significance
and beauty. Together with the Kirk of St. John, it forms the focal
point of Central Perth, and, seen from the Mercat Cross in King
Edward Street, it is appreciated at its majestic best.”

Perth and Kinross Council's own description (above) of Perth City
Hall in promotional literature remains as true today as when it
was written in 1995, and we are strongly of the view that the loss
of this fine building would not only leave Perth poorer financially
but also create a void where its heart should be.

The Prince’s Regeneration Trust and The Prince’s Foundation for
Building Community are working with Perth City Market Trust
and are pleased to support this proposal to bring a new, vibrant
use to the currently redundant City Hall. The Charities look
forward to working with the PCMT, the Council, Historic Scotland
and other key stakeholders to create a Market Hall in a Market
Square that will lead to the regeneration of Perth.




                                                                      1
THE PROJECT VISION

Integration of the City Hall with its environs is central to the
physical and functional planning of the project. It will be achieved
by transforming the City Hall into a Market Hall as the centrepiece
of a new Market Square, created by embracing King Edward
Street, St John’s Place, South St. John’s Place and Kirkside.

From the historic market heart of Perth - the Mercat Cross in King
Edward Street - the splendid frontage of the City Hall is seen to
best advantage, and practically compels the pedestrian to enter.

Introduction of a fresh dimension to the City of Perth as a
shopping destination is imperative in order to halt the decline
of the High Street and St John’s Centre. It is easy to attribute
this decline mainly to the recession since 2008, but that has
merely accelerated the long-term decline of High Streets and
enclosed shopping malls nationally, resulting from out-of-town         Cork’s retail catchment are directly comparable to that of Perth. It
supermarkets and retail parks as well as internet shopping; while      attracts produce from all over Ireland, and is officially described
even centrally the trend is towards much bigger but far fewer          as:
stores, replacing several times as many traditional shop units.
Another, even more disturbing, long-term factor is the continuing                   ...a civic space and a bustling social hub
decline of Perth in the Scottish league-table of shopping                          for the city, with the variety of products,
destinations, from 4th place fifty years ago to somewhere below                    the pride of place accorded to small traders,
10th place today, having been overtaken by Stirling, Inverness,                    growing emphasis on organic products and
Glenrothes, East Kilbride and others.                                              reliance on small-scale producers – a mix of
                                                                                   traditional Cork fare and exciting new foods
Redevelopment of the City Hall provides a unique opportunity                       from afar – with long-standing family run
to stabilise the city centre and repatriate some of that exported                  stalls and newcomers.
consumer spending power. It can also exploit Perth’s strategic
location at the heart of the country and rapid population growth in    This is of course exactly what we envisage for Perth, which is
order to expand the city’s catchment area, while creating an extra     similarly surrounded by food-producing country. In the same
attraction for tourists and visitors.                                  way that established retailers in Dublin and elsewhere in Ireland
                                                                       maintain a stall in the Cork market, so will many food-shops in
The crucial missing component is a fresh food market, which will       towns throughout Scotland also maintain a stall in Perth.
occupy the whole Main Hall – quite unlike outdoor markets or
survivors from Victorian market halls. For this is an intensive        Swansea Market Hall, built 1894 and rebuilt 1961, has over a
form of retailing, intensively managed, as yet unfamiliar in           hundred independent traders, officially described as “the life-
Scotland but well established and increasingly developed               blood of our city centre”, while St. George’s Market in Belfast,
elsewhere in the world.                                                built 1890-96 and refurbished 1995-98, is chiefly famous for its 23
                                                                       fish and seafood stalls. But the indoor market with a floor-plan
The best example is the English Market in Cork, Ireland, which         that most closely resembles ours, with its tight grid of fixed stalls,
won the Europa Nostra award in 1981 following refurbishment            is Adelaide Central Market in South Australia which is managed
of the original 1862 building. Both the scale of the market and        by a British firm of chartered surveyors. All four examples – and




                                                                                                                                                2
there are many more – are immensely successful; the first three,                                                                                  subsidiary company, and this remains an option. But in order to
significantly, all occupying historic buildings.                                                                                                  align interests and to optimise both rental revenues and quality of
                                                                                                                                                  service our preferred option is for the management and employees
The National Association of British Market Authorities, which                                                                                     also to participate, John Lewis–style, in the Trust.
Perth City Market Trust is qualified to join, has been very helpful,
as has the National Federation of Market Traders which represents                                                                                 Any surplus income will accrue to a fund for reinvestment in the
the interests of stall-holders. The stalls will be specially designed,                                                                            building or in other activities in the City centre for the benefit of
prefabricated to a standard size and fixed, with individually                                                                                     the people of Perth.
metered water and power supplies from the services laid beneath
                                                                                                                                                  Our Vision of a Market Hall in a Market Square is coherent and
the new floor, which is being lowered to the level of the outside
                                                                                                                                                  eminently achievable.
pavement.

Traders will participate in PCMT and will have considerable
flexibility to take a single or double unit on flexible terms such as
rolling periodic tenancies, possibly of 6 months duration initially.
With one or more agreements being renewed or entered into every
week, rental values will quickly find their own levels. On rare
occasions, every stall could be disconnected and dismantled to
make the whole Main Hall available in clear space.

The Lesser Hall will retain its existing floor, because stalls here are
                                                                          floor – with access to the existing, refurbished, roof terrace –
devoted to non-foods with a looser layout, so do not require the
                                                                          creates ideal open spaces in a dramatic setting for a 'destination'
water connections, and also because they will be demounted and
                                                                          restaurant and cafés.
stacked away frequently to provide a clear floor, available for the
many social functions for which the Hall will be hired.                   The conventional developer’s approach is to sign up anchor
                                                                          tenants on 5/10 year leases, so that, upon completion of the
Through the simple means of extending several of the existing
                                                                          development, an investment is created of ascertainable value that
tall windows down to pavement level, additional access will open
                                                                          can be sold to an institutional investor to realise a capital profit.
through all elevations other than the entrance facade. Pedestrian
                                                                          Perth City Market Trust’s policy is entirely different from this
traffic will flow lengthwise between King Edward Street and
                                                                          conventional transaction-driven development model. The Market
Kirkside, as well as across the building between St John’s
                                                                          Hall will remain in community ownership, taking a very long-term
Place and South St John's Place, very much to the benefit of the
                                                                          view based upon continuing rental revenue flows and least cost of
surrounding businesses and St John’s Kirk itself.
                                                                          occupation over time, which mandates energy efficiency and high
Within the existing Entrance Hall facing King Edward Street,              levels of quality.
commanding the pedestrian flow through the building, a Tourist
                                                                          Moreover the lower cost and affordability of our proposed funding
Shop and Visitor Centre will be provided, to meet a long-overdue
                                                                          model will enable a more modest rental than in conventionally
public need.
                                                                          funded developments, and this in turn will maximise occupation
Two new upper floors are planned, around a central void to create         and minimise voids.
an atrium, within which a scenic lift will augment the vertical
                                                                          With a Market Hall there are no ‘anchor tenants’, and therefore
circulation provided by existing staircases. This reveals exciting
                                                                          no need of pre-lettings. Stall-holders and upper-floor tenants will
panoramic views, both upwards through the void and downwards
                                                                          pay service charges to a manager The conventional approach to
from the galleried upper floors. The first floor will be devoted
                                                                          management has been to incorporate a wholly-owned management
to youth enterprise activities and business space, while the top




                                                                                                                                                                                                                          3
PERTH CITY MARKET TRUST

Perth City Market Trust was formed in February 2012 by founder   As a Company Limited by Guarantee, its purpose is to acquire, preserve, sustainably develop and manage as a long-term investment the
members Vivian Linacre (Project Manager), Denis Munro (a         former Perth City Halls as the Perth City Market Hall, in accordance with the following:
former Perth & Kinross Council Head of Planning) and architect
James Simpson of Simpson & Brown Architects, noted specialists
in historic building conservation. Jim Cormie (a former Chief    (a)	   SOCIAL ENTERPRISE
Executive of Perth & Kinross Council) was appointed as Interim
Chair and Chris Cook of the Nordic Enterprise Trust was          To create a surplus out of net rental income from the affordable market space and associated facilities let to retail enterprises in Perth
appointed Secretary. Nominations for additional Trustees are     and beyond, such surplus to be reinvested for enhancement of the Market Hall and otherwise for the benefit of the community;
under consideration.

At this stage, the Trust is constituted very simply as an
unincorporated association. The draft objects are:               (b)	    SUSTAINABLE DEVELOPMENT
                                                                 To ensure that Perth City Market Hall is developed to the highest possible standards of quality and energy efficiency with a minimal
                                                                 carbon footprint;




                                                                 (c)	HERITAGE
                                                                 To ensure that Perth City Market Hall is preserved and maintained as an important part of Perth’s and Scotland’s architectural heritage;




                                                                 (d)	    ECONOMIC DEVELOPMENT
                                                                 To promote and facilitate use of Perth City Market Hall by new and developing enterprises;




                                                                 (e)	   YOUTH ENTERPRISE
                                                                 To provide a focus for creation and development of youth enterprises and for practical education and training in retail, catering and
                                                                 market skills and entrepreneurship;




                                                                 (f)	TOURISM
                                                                 To establish and foster Perth City Market as a major attraction for tourists and visitors to the city, not only as an indoor market but also
                                                                 by provision within the former entrance hall of a specially designed Visitor and Information Centre.




                                                                                                                                                                                                                4
PARTNERS
The Prince’s Regeneration Trust (PRT) began working with
the newly formed PCMT earlier this year to help guide the
development of this important regeneration project. PRT’s purpose
is to co-ordinate the work to revitalise Perth City Hall, and advise
PCMT on approach and strategy. PRT is co-ordinating a Steering
Group to drive this project forward.

PRT has a strong track record in regeneration projects throughout
the UK. In Scotland, PRT has successfully led projects at Stanley
Mills, just north of Perth and Anchor Mills in Paisley, and is
currently working with groups at Broadford Works in Aberdeen,
at Rothesay Pavilion on the Isle of Bute and at John O’Groats Mill
in Caithness.

In general, PRT provides advice and support to community
groups, local authorities, developers and individuals on heritage-
led regeneration projects. PRT is a charity that believes that to
restore our historic places into active and relevant community
assets is not only possible - it is the most sustainable approach to
regeneration. Buildings, like people and places, need to adapt to
survive. PRT rescues redundant historic buildings and give them a
sustainable new use for the benefit of the surrounding community.

The Prince’s Foundation for Building Community (PFBC) teaches
and demonstrates sustainable development and places community
engagement at the heart of our work. Our goal is a future
where all of us can take part in making our communities more
sustainable and beautiful. We’re working with everyone from local
residents’ groups to governments to make it happen.

PFBC commends plans for the reuse of Perth City Hall for a
function that will renew it as a lively focus for the city. As the
project develops PFBC would be pleased to establish a role
alongside its sister charities in helping to maximise the benefits
to the wider city centre, to facilitate widespread community
participation, and to advise on architectural adaptations.




                                                                       5
HISTORICAL AND CULTURAL CONTEXT

To set the scene, in 1844, the Council of the day discussed the lack   Areas created between 1972 and 1981 and, since 2008, it has been
of a building for public meetings and decided to construct the first   part of a single Conservation Area encompassing the whole town
City Hall in an essentially landlocked site between the Kirk and       centre.
what is now King Edward Street (a photograph of the first CH is
                                                                       Until the new Concert Hall was built, the Kirk and City Hall
available if required). The Hall opened in 1845 and occupied an
                                                                       were complementary in providing a focus for the city’s religious
area approximating to the western half of the present building.
                                                                       and cultural life. As the City Hall actually comprises a Main
The other half was an open space, almost enclosed on three sides
                                                                       and a Lesser Hall it had the flexibility to cater for a wide range
by the Kirk Session House and smaller buildings, which was used
                                                                       of community and commercial events at very modest cost to the
as a market and meeting area, known as “City Hall Square.” At the
                                                                       users. The Main Hall could accommodate 1624 people, seated,
beginning of the 20th century the building’s structural condition
                                                                       and the Lesser Hall 350. For dances, the figures were 550 and 250
was causing concern, and in 1908 it was decided to demolish it
                                                                       respectively. At the time of the building’s closure in 2005 it was
and construct a new, larger Hall which opened in 1911 and stands,
                                                                       regularly booked for functions as diverse as conferences, balls and
unaltered, to this day.
                                                                       pay-at-the door dances, pop, choral and orchestral concerts, school
Concurrent with its construction, North and South St. John’s Place     and college prize-giving ceremonies, craft fairs, flower shows,
were extended and King Edward Street formed with the apparent          book/CD sales and virtually any event arising from a community
purpose of creating a distinct precinct for the City Hall and Kirk     need. Very few of those uses are transferable to the Concert Hall
which had previously been separated by the Session House.              and have, consequently, been lost as generators of town centre
Both buildings were now enclosed on three sides by continuous          expenditure.
frontages. Within the precinct, few of the secondary buildings
                                                                       To local traders, this loss is indisputable. The opportunity to
are on the statutory list of buildings of architectural or historic
                                                                       reintroduce the best of these activities within the Lesser Hall is
interest and, on the south side in particular, the frontages lack
                                                                       therefore an important consideration in PCMT’s proposal.
the scale and quality of façade that would have been necessary to
create a satisfactory square had the present Hall been demolished.     Clockwise from right: foundation stone laying ceremony 1909, Sir
Yet the precinct was within one of seven town centre Conservation      Winston Churchill in 1948, Ordnance Survey 1860, design section 1908.




                                                                                                                                               6
SIGNIFICANCE OF THE BUILDING
                                                         Perth City Hall is recognised as a building of regional importance
                                                         through its Category B listing. This means that alterations to
                                                         the building will require listed building consent. Our proposal
                                                         takes account of this through an assessment of the significance
                                                         of the building. We have assessed the cultural, historical and
                                                         architectural significance of the individual elements of the
                                                         building. From this grading of significance, the design proposals
                                                         have been developed.

                                                         Elements of Outstanding Significance: An element of international
                                           Lesser hall   importance or a fine, intact, little altered example of a particular
         Foyer                 Main hall
                                                         period, style or type.

                                                         Elements of Considerable Significance: An element of regional or
                                                         national importance, or a good example of a particular period,
                                                         style or type with a high degree of intact original fabric that
                                                         contributes substantially to the importance of the building or site
                                                         overall.

                                                         Elements of Moderate Significance: An element of local importance,
                                                         or an element that contributes to, but is not a key element to the
                                                         importance of the building or site overall.

                                                         Neutral Elements: An element which neither contributes, nor
                                                         detracts from the importance of the building or site overall.

                                                         Negative Elements: An element which detracts from the overall
                                                         significance of the building.




                                                         The most significant elements of this building are its west
                                                         elevations to King Edward Street, and the entrance foyer, and
                                                         the two halls. It is important that these spaces are respected, and
            Bar                Main hall   Lesser hall   that the interiors are kept as single-volume spaces, to retain the
                                                         significance of the building. The subsidiary and service spaces are
                                                         less significant.


                                                         Ground floor significance plan above, first floor below.




                                                                                                                                7
A preliminary scheme was prepared by Simpson for the PCMT
PROPOSED ALTERATIONS                    in 2011. During the last year we have been able to develop
                                        these initial thoughts; access to the interior has been achieved,
                                        an informed assessment of the significance of interiors has been
                                        made and the interaction of the spaces has been reviewed. Our
                                        knowledge of the building has increased and this has impacted
                                        upon the scheme that is being presented today.

                                        A fundamental principle of the design is that the building is
                                        allowed to engage with the streets on every side; giving access
                                        to a new central market hall for Perth in the main hall space. To
                                        achieve we propose to drop the level of the existing floor down to
                                        pavement level allowing the main hall, side corridors and front
                                        entrance to be fully accessible to all.

                                        The challenge in developing the existing building is to retain
                                        its positive attributes and character and enhance them for new
                                        purposes. In our assessment the north and south elevations can
                                        be considered as possessing a lesser significance than those to the
West elevation         East elevation   east and west. We therefore propose that their alteration can be
                                        justified to create a direct route into the main hall.

                                        In accordance with our assessment of significance, important
                                        decorative features such as the main stairs from the foyer and
                                        the magnificent vaulted ceiling in the main hall, will remain
                                        unaltered.

                                        We also propose to keep the first floor gallery level in the main
                                        hall. More space and better circulation can be created by building
                                        a floor out at the level of the existing corridor. This allows the
                                        upper floors to be planned around a large void that overlooks
                                        the new market hall and glass screens can be incorporated at
                                        first floor to reduce the effect of noise and smells within what
                                        will be the new enterprise zone. A bar, gallery and restaurant
                                        on the top floor will be open to the market and will benefit from
                                        spectacular rooftop views of Perth, particularly St John’s Kirk.
                                        We have created a new roof at second floor over the lesser hall to
                                        accommodate the restaurant and capitalise on the potential for al
                                        fresco dining on the existing south roof terrace.

South elevation                         The Lesser Hall has significant architectural merit as a
                                        multifunctional space. It is proposed to maintain this room with
                                        its original features including the timber floor, altering only the
                                        windows to form a separate accessible grand entrance on the east
                                        side.




                                                                                                              8
We have considered the workings of the building as a whole,
                                                                                                                                                     the inclusion of separate uses places some restrictions upon the
                                                                                                                                                     way the spaces are divided and we have sought to make the
                                                                                                                                                     most appropriate strategic decisions to create a cohesive plan. A
                                                                                                                                                     further challenge is to create full disabled access to all areas and
                                                                                                                                                     create a framework for these routes to work independently with
                                                                                                                                                     the minimum of intervention. To this end we have introduced a
                                                                                                                                                     number of lifts at key points, including a scenic glass lift within
                                                                                                                                                     the main hall space, and kitchens at all levels, including the
                                                                                                                                                     basement.




Clockwise from top left: short section as proposed, proposed view of market hall, west elevation night view, Spittalfields market precedent, Leeds
indoor market precedent, long section as proposed.




                                                                                                                                                                                                                            9
St John’s Place




                                    retail units




                                                                         lesser hall
king edward street




                                         market hall


                     foyer                                        Lift




                                    retail units




                               outdoor market, south st john’s place




                                                                                       10
youth           VOID above                    VOID above
                                         Lift
enterprise        market hall                   lesser hall


             BUSINESS AND RETAIL UNITS




                                                              11
NORTH TERACE
                            KITCHEN



        GALLERY




BAR   VOID above
                     Lift   RESTAURANT
      market hall




        GALLERY



      SOUTH TERACE




                                         12
A DAY IN THE LIFE OF PERTH CITY HALL
6am	      Market opens for traders’ deliveries to the restaurant       2.00pm	    Wedding photographs are being taken on the new wide
          and main Market Hall (& for setting up temporary                        steps and ramp to east entrance of Lesser Hall, with
          stalls in the Lesser Hall when booked). Market office                   champagne reception inside. Note this Hall can be
          opens for business.                                                     completely separated from market with kitchen service
                                                                                  from basement and first floor above stage. After dinner
7am	      Early bird breakfasts and coffee served from stall(s) on                speeches are given from the stage.
          outer aisles of market.
                                                                       2.30pm	    Shoppers laden with groceries from the market and
	         Cleaners present on restaurant floor & office floor.                    surrounding shops escape to the rooftop café for
                                                                                  afternoon tea.
	         The Lesser Hall has been booked for a wedding
          party. Flowers and tables are set up for the reception       3.30pm	    Chefs commence masterclass within the rooftop
          following the marriage ceremony in St John's Kirk.                      restaurant area using market produce.

8am	      North and South Market doors open for early trading.         5.30pm	    Tourist Office closes, office receptions close. Market
          Workers start to arrive to enterprise offices on 1st floor              Halls shut to public & scenic lift changes to key
          using separate lobbied entrances on north and south                     operation only.
          sides.
                                                                       6pm	       Evening service begins for café & bar. Lesser Hall
8.30am	   Rooftop Café prepares for opening & accepting                           tables are cleared away & space cleaned. Cleaners also
          deliveries via lifts on north side.                                     operating within Market Hall and foyer. Main foyer
                                                                                  closed and public access to café floor restricted to south
9am 	     Rooftop café opens for business with snack & coffee
                                                                                  side stairs and lift.
          service, customers arrive via scenic lift from Market
          Hall and via separate street entrance.                       6.30pm 	   Main Market Hall closed and secured.

9.15am	   Main west doors open. Tourist Office and temporary           7pm	       Guests attending the wedding reception in the Lesser
          exhibition prepares to open within original entrance                    Hall are joined by evening guests in the restaurant and
          foyer.                                                                  bar.

9.30am	   Tourist Office and temporary exhibition within foyer         	          Chairs are set up in the Lesser Hall for an evening
          opens. Youth Enterprise units, offices and reception                    music recital.
          open for public visits using main stair from foyer and
          new lift in north west corner.                               7.30pm	    The east doors of the Lesser Hall re-open to admit the
                                                                                  audience for the recital.
10am	     Main market busy and additional temporary market
          stalls put out in St Johns square. Street artists begin      8pm	       Last office workers / Youth enterprise workers leave
          performances on Kirkside with the audience sitting                      via the south doors and this access is secured.
          on the new wide entrance steps to the east side of the
                                                                       10pm	      The performance in Lesser Hall finishes and some of
          Lesser Hall. Food samples being offered to entice public
                                                                                  the audience migrate to the rooftop restaurant and bar
          into the market.
                                                                                  for last orders. Last food orders on top floor.
12pm	     Café begins lunch service overlooking the Market or the
                                                                       11.30 pm	 Restaurant and bar facilities close, staff shut down &
          Kirk. Rooftop bar opens.
                                                                                 secure floor.




                                                                                                                                               13
BUSINESS MODEL                                                         the marketing process begins. As already outlined, PCMT is              Development Partnership will be wound up, at which point the
                                                                       constituted very simply as an unincorporated association, and all       PCMT constitution assumes its final form.
Perth City Market Trust aims to create a surplus from the
                                                                       costs to date have been met by the members and by partners on a
operation of the Market Hall which will be reinvested in                                                                                       Firstly, instead of entering into leases or licences, market stall-
                                                                       pro bono basis.
development of the Market Hall, the Market Square and outwards                                                                                 holders and enterprises such as the proposed restaurant will
into the Perth environs of the Hall. The outcome of such a 'social     Pre-planning – this stage ends with acceptance of the Stage 2           occupy the building on the basis of their status as 'Occupier
business' model may be considered as 'profit for purpose'.             detailed proposal and granting of planning consent in principle.        Members' of PCMT. Such contractual rights of occupation through
                                                                       PCMT will continue to be an unincorporated association, which           membership of a Mutual are common in the co-operative sector.
The proposed framework evolves over the life of the project,
                                                                       will be a member of a transitional 'Development Partnership'
and the financing and funding requirements, and the investment                                                                                 Secondly, market managers and administrators will neither be
                                                                       UK Limited Liability Partnership (LLP). The other Development
necessary to meet these requirements, evolve with the model. The                                                                               employees nor contractors but will be members of a class of PCMT
                                                                       Partnership members will firstly be the professionals involved
guiding principles of our social business model are: simplicity,                                                                               membership who participate in the success of the project.
                                                                       who will cover agreed costs but be expected to participate to an
flexibility, collaboration, transparency, resilience and efficiency.
                                                                       agreed extent, and secondly, the financial investors necessary to       Finally, investors will also participate as a class of PCMT
We envisage four phases which lead to the creation of the Perth        defray professional and other costs of the detailed plan.               membership who invest directly in future rentals through a simple
City Market Hall:                                                                                                                              'prepay' investment instrument.
                                                                       This development financing will come from a mix of grants and
Concept - the current phase which ends when Stage 2 of                 early stage equity investment in the LLP development vehicle.           The sustainability of the PCMT enterprise model is based upon
                                                                                                                                               three elements.
                                                                       Planning and Development – this phase ends when rental flow
                                                                       commences from the completed building. At the commencement              •	 Funding costs – these are minimised through the absence of
                                                                       of this phase, the unincorporated association will be incorporated         compound interest and the reasonable level of return to long
                                                                       as a Company Limited by Guarantee which will thereafter be a               term investors.
                                                                       member of the Development Partnership.
                                                                                                                                               •	 Affordable rentals – are, by definition, more likely to be paid,
                                                                       There are two possible options in respect of PCMT's tenure of the          thereby minimising the risk to investors and justifying the
                                                                       property from Perth & Kinross Council. The preferred option is             reasonable level of return.
                                                                       for the Council to transfer the freehold to PCMT similarly to the
                                                                       transfers to a CLG ownership vehicle akin to the Mount Stuart           •	 Alignment of interests – all participants have a stake in the
                                                                       Trust and Applecross Trust. The Council may thereby both retain            outcome of the Market Hall.
                                                                       suitably flexible safeguards in the public interest, and participate
                                                                                                                                               Core Revenues and Costs
                                                                       in the success of the project.

                                                                                                                                               It would be premature at this stage to do more than estimate
                                                                       Alternatively, the Council may enter into a long lease with PCMT,
                                                                                                                                               indicative costs for development and operation and the sources
                                                                       with all the attendant risks, but without participation in PCMT.
                                                                                                                                               of revenues which will provide a return to risk averse long term
                                                                       During this phase, development financing will come from a               investors such as pension funds. It is anticipated that the cost
                                                                       combination of the following: grants; 'soft' loans and quasi-equity     will be of the order of £x million after generous allowance for
                                                                       from heritage funders (eg the Architectural Heritage Fund); the co-     contingencies.
                                                                       operative sector; the social enterprise sector (eg Big Issue Invest);
                                                                                                                                               Core revenues will be derived from Market Hall rentals, and from
                                                                       from risk-taking 'venture philanthropists' – ideally local - wishing
                                                                                                                                               rentals from the proposed restaurant and cafe/bar on the top
                                                                       to invest in the Development Partnership; and if necessary, from
                                                                                                                                               floor. While additional revenues are expected, for instance from
                                                                       banks.
                                                                                                                                               management of the Market Square and from the proposed Youth Hub
                                                                       Operation – this phase will sit within a 'multi-stakeholder'            on the first floor, these are not relied upon in our business planning.
                                                                       corporate framework. Once the development is complete, the




                                                                                                                                                                                                                    14
COMMUNITY AND STAKEHOLDER
ENGAGEMENT

The Trust aims to set very high standards of stakeholder engagement during the planning and development of the project, and of
stakeholder participation once it is completed.




Community

The Trust will develop a programme of events and a media strategy in order to present our vision of “A Market Hall in a Market Square”
for discussion and input by the Community. In particular, we shall invite recommendations for use of the first floor where we envisage
the creation of a Youth Enterprise Hub.

In carrying out this consultation, we shall engage with community bodies including for example the Perth Civic Trust, Chamber of
Commerce, Guildry Incorporation, social enterprise networks, etc.

Perth & Kinross Council

The concept of a Market Hall in a Market Square could be the catalyst for a new civic strategy for Perth. We would wish to confer with
Councillors on a non-partisan basis as well as with Council Officers in order to identify any potential planning issues and establish their
fullest participation.

Third Sector

The Youth Enterprise Hub will create opportunities for engagement with educational and vocational bodies and other institutions that
support social enterprise generally and develop youth enterprise in particular, such as the Prince’s Scottish Youth Enterprise Trust.




                                                                                                                                              15
NEXT STEPS



To sum up, this outline development proposal is the first stage in
developing our project and securing the lease on Perth City Hall.
The next stage will be detailed and will require a considerable
amount of work by Perth City Market Trust and our partners.
We are already thinking about our next steps, which at this stage
include the following:

•	 To continue the work of our Steering Group, leading the
   project, developing key tasks and bringing in the expertise of
   others as required.

•	 To formally constitute Perth City Market Trust.

•	 To begin our programme of community engagement, with
   presentation, consultation and inclusion.

•	 To develop detailed proposals for conversion of the City Hall.

•	 To engage key stakeholders in our project, including
   Historic Scotland, the National Association of British Market
   Authorities and the National Federation of Market Traders,
   Perth Civic Trust and, if appropriate, Perth & Kinross Council,
   inviting pre-application discussion and feedback.

•	 To develop our Business Plan, thoroughly testing the feasibility
   of our proposal for a Market Hall.

•	 To fully develop our Funding Strategy in tandem with our
   Business Plan.

•	 To invite subscription to Perth City Market Trust from all
   individuals and enterprises who share our aims and are keen
   to enable Perth City Market Hall to become a great success.




                                                                      16
This document has been produced by Simpson & Brown Architects
               for the Perth City Market Trust.




                                                                17

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12 11-28 - perth city hall - outline development proposal low resolution...

  • 1. PERTH CITY HALL OUTLINE DEVELOPMENT PROPOSAL A market hall in a market square November 2012
  • 2. Contents Executive Summary 1 The Project Vision 2 Perth City Market Trust 4 Partners 5 Historic and Cultural Context 6 Significance of the Building 7 Proposed Alterations 8 A Day in the Life of Perth City Market Hall 13 The Business Model 14 Community and Stakeholder Engagement 15 Next Steps 16 ii
  • 3. EXECUTIVE SUMMARY Perth City Market Trust's proposal for a Market Hall in a Market Square for Perth seemed to us to bring into focus the urgent need to bring life back into the centre of so many UK towns and cities through bringing People to Place for Purpose. We believe that a Perth City Market Hall will be capable of both driving the regeneration of the historic centre of Perth and in doing so to stimulate building of the Perth community through the local creation, circulation and re-investment of economic value. “Perth City Hall is a building of great architectural significance and beauty. Together with the Kirk of St. John, it forms the focal point of Central Perth, and, seen from the Mercat Cross in King Edward Street, it is appreciated at its majestic best.” Perth and Kinross Council's own description (above) of Perth City Hall in promotional literature remains as true today as when it was written in 1995, and we are strongly of the view that the loss of this fine building would not only leave Perth poorer financially but also create a void where its heart should be. The Prince’s Regeneration Trust and The Prince’s Foundation for Building Community are working with Perth City Market Trust and are pleased to support this proposal to bring a new, vibrant use to the currently redundant City Hall. The Charities look forward to working with the PCMT, the Council, Historic Scotland and other key stakeholders to create a Market Hall in a Market Square that will lead to the regeneration of Perth. 1
  • 4. THE PROJECT VISION Integration of the City Hall with its environs is central to the physical and functional planning of the project. It will be achieved by transforming the City Hall into a Market Hall as the centrepiece of a new Market Square, created by embracing King Edward Street, St John’s Place, South St. John’s Place and Kirkside. From the historic market heart of Perth - the Mercat Cross in King Edward Street - the splendid frontage of the City Hall is seen to best advantage, and practically compels the pedestrian to enter. Introduction of a fresh dimension to the City of Perth as a shopping destination is imperative in order to halt the decline of the High Street and St John’s Centre. It is easy to attribute this decline mainly to the recession since 2008, but that has merely accelerated the long-term decline of High Streets and enclosed shopping malls nationally, resulting from out-of-town Cork’s retail catchment are directly comparable to that of Perth. It supermarkets and retail parks as well as internet shopping; while attracts produce from all over Ireland, and is officially described even centrally the trend is towards much bigger but far fewer as: stores, replacing several times as many traditional shop units. Another, even more disturbing, long-term factor is the continuing ...a civic space and a bustling social hub decline of Perth in the Scottish league-table of shopping for the city, with the variety of products, destinations, from 4th place fifty years ago to somewhere below the pride of place accorded to small traders, 10th place today, having been overtaken by Stirling, Inverness, growing emphasis on organic products and Glenrothes, East Kilbride and others. reliance on small-scale producers – a mix of traditional Cork fare and exciting new foods Redevelopment of the City Hall provides a unique opportunity from afar – with long-standing family run to stabilise the city centre and repatriate some of that exported stalls and newcomers. consumer spending power. It can also exploit Perth’s strategic location at the heart of the country and rapid population growth in This is of course exactly what we envisage for Perth, which is order to expand the city’s catchment area, while creating an extra similarly surrounded by food-producing country. In the same attraction for tourists and visitors. way that established retailers in Dublin and elsewhere in Ireland maintain a stall in the Cork market, so will many food-shops in The crucial missing component is a fresh food market, which will towns throughout Scotland also maintain a stall in Perth. occupy the whole Main Hall – quite unlike outdoor markets or survivors from Victorian market halls. For this is an intensive Swansea Market Hall, built 1894 and rebuilt 1961, has over a form of retailing, intensively managed, as yet unfamiliar in hundred independent traders, officially described as “the life- Scotland but well established and increasingly developed blood of our city centre”, while St. George’s Market in Belfast, elsewhere in the world. built 1890-96 and refurbished 1995-98, is chiefly famous for its 23 fish and seafood stalls. But the indoor market with a floor-plan The best example is the English Market in Cork, Ireland, which that most closely resembles ours, with its tight grid of fixed stalls, won the Europa Nostra award in 1981 following refurbishment is Adelaide Central Market in South Australia which is managed of the original 1862 building. Both the scale of the market and by a British firm of chartered surveyors. All four examples – and 2
  • 5. there are many more – are immensely successful; the first three, subsidiary company, and this remains an option. But in order to significantly, all occupying historic buildings. align interests and to optimise both rental revenues and quality of service our preferred option is for the management and employees The National Association of British Market Authorities, which also to participate, John Lewis–style, in the Trust. Perth City Market Trust is qualified to join, has been very helpful, as has the National Federation of Market Traders which represents Any surplus income will accrue to a fund for reinvestment in the the interests of stall-holders. The stalls will be specially designed, building or in other activities in the City centre for the benefit of prefabricated to a standard size and fixed, with individually the people of Perth. metered water and power supplies from the services laid beneath Our Vision of a Market Hall in a Market Square is coherent and the new floor, which is being lowered to the level of the outside eminently achievable. pavement. Traders will participate in PCMT and will have considerable flexibility to take a single or double unit on flexible terms such as rolling periodic tenancies, possibly of 6 months duration initially. With one or more agreements being renewed or entered into every week, rental values will quickly find their own levels. On rare occasions, every stall could be disconnected and dismantled to make the whole Main Hall available in clear space. The Lesser Hall will retain its existing floor, because stalls here are floor – with access to the existing, refurbished, roof terrace – devoted to non-foods with a looser layout, so do not require the creates ideal open spaces in a dramatic setting for a 'destination' water connections, and also because they will be demounted and restaurant and cafés. stacked away frequently to provide a clear floor, available for the many social functions for which the Hall will be hired. The conventional developer’s approach is to sign up anchor tenants on 5/10 year leases, so that, upon completion of the Through the simple means of extending several of the existing development, an investment is created of ascertainable value that tall windows down to pavement level, additional access will open can be sold to an institutional investor to realise a capital profit. through all elevations other than the entrance facade. Pedestrian Perth City Market Trust’s policy is entirely different from this traffic will flow lengthwise between King Edward Street and conventional transaction-driven development model. The Market Kirkside, as well as across the building between St John’s Hall will remain in community ownership, taking a very long-term Place and South St John's Place, very much to the benefit of the view based upon continuing rental revenue flows and least cost of surrounding businesses and St John’s Kirk itself. occupation over time, which mandates energy efficiency and high Within the existing Entrance Hall facing King Edward Street, levels of quality. commanding the pedestrian flow through the building, a Tourist Moreover the lower cost and affordability of our proposed funding Shop and Visitor Centre will be provided, to meet a long-overdue model will enable a more modest rental than in conventionally public need. funded developments, and this in turn will maximise occupation Two new upper floors are planned, around a central void to create and minimise voids. an atrium, within which a scenic lift will augment the vertical With a Market Hall there are no ‘anchor tenants’, and therefore circulation provided by existing staircases. This reveals exciting no need of pre-lettings. Stall-holders and upper-floor tenants will panoramic views, both upwards through the void and downwards pay service charges to a manager The conventional approach to from the galleried upper floors. The first floor will be devoted management has been to incorporate a wholly-owned management to youth enterprise activities and business space, while the top 3
  • 6. PERTH CITY MARKET TRUST Perth City Market Trust was formed in February 2012 by founder As a Company Limited by Guarantee, its purpose is to acquire, preserve, sustainably develop and manage as a long-term investment the members Vivian Linacre (Project Manager), Denis Munro (a former Perth City Halls as the Perth City Market Hall, in accordance with the following: former Perth & Kinross Council Head of Planning) and architect James Simpson of Simpson & Brown Architects, noted specialists in historic building conservation. Jim Cormie (a former Chief (a) SOCIAL ENTERPRISE Executive of Perth & Kinross Council) was appointed as Interim Chair and Chris Cook of the Nordic Enterprise Trust was To create a surplus out of net rental income from the affordable market space and associated facilities let to retail enterprises in Perth appointed Secretary. Nominations for additional Trustees are and beyond, such surplus to be reinvested for enhancement of the Market Hall and otherwise for the benefit of the community; under consideration. At this stage, the Trust is constituted very simply as an unincorporated association. The draft objects are: (b) SUSTAINABLE DEVELOPMENT To ensure that Perth City Market Hall is developed to the highest possible standards of quality and energy efficiency with a minimal carbon footprint; (c) HERITAGE To ensure that Perth City Market Hall is preserved and maintained as an important part of Perth’s and Scotland’s architectural heritage; (d) ECONOMIC DEVELOPMENT To promote and facilitate use of Perth City Market Hall by new and developing enterprises; (e) YOUTH ENTERPRISE To provide a focus for creation and development of youth enterprises and for practical education and training in retail, catering and market skills and entrepreneurship; (f) TOURISM To establish and foster Perth City Market as a major attraction for tourists and visitors to the city, not only as an indoor market but also by provision within the former entrance hall of a specially designed Visitor and Information Centre. 4
  • 7. PARTNERS The Prince’s Regeneration Trust (PRT) began working with the newly formed PCMT earlier this year to help guide the development of this important regeneration project. PRT’s purpose is to co-ordinate the work to revitalise Perth City Hall, and advise PCMT on approach and strategy. PRT is co-ordinating a Steering Group to drive this project forward. PRT has a strong track record in regeneration projects throughout the UK. In Scotland, PRT has successfully led projects at Stanley Mills, just north of Perth and Anchor Mills in Paisley, and is currently working with groups at Broadford Works in Aberdeen, at Rothesay Pavilion on the Isle of Bute and at John O’Groats Mill in Caithness. In general, PRT provides advice and support to community groups, local authorities, developers and individuals on heritage- led regeneration projects. PRT is a charity that believes that to restore our historic places into active and relevant community assets is not only possible - it is the most sustainable approach to regeneration. Buildings, like people and places, need to adapt to survive. PRT rescues redundant historic buildings and give them a sustainable new use for the benefit of the surrounding community. The Prince’s Foundation for Building Community (PFBC) teaches and demonstrates sustainable development and places community engagement at the heart of our work. Our goal is a future where all of us can take part in making our communities more sustainable and beautiful. We’re working with everyone from local residents’ groups to governments to make it happen. PFBC commends plans for the reuse of Perth City Hall for a function that will renew it as a lively focus for the city. As the project develops PFBC would be pleased to establish a role alongside its sister charities in helping to maximise the benefits to the wider city centre, to facilitate widespread community participation, and to advise on architectural adaptations. 5
  • 8. HISTORICAL AND CULTURAL CONTEXT To set the scene, in 1844, the Council of the day discussed the lack Areas created between 1972 and 1981 and, since 2008, it has been of a building for public meetings and decided to construct the first part of a single Conservation Area encompassing the whole town City Hall in an essentially landlocked site between the Kirk and centre. what is now King Edward Street (a photograph of the first CH is Until the new Concert Hall was built, the Kirk and City Hall available if required). The Hall opened in 1845 and occupied an were complementary in providing a focus for the city’s religious area approximating to the western half of the present building. and cultural life. As the City Hall actually comprises a Main The other half was an open space, almost enclosed on three sides and a Lesser Hall it had the flexibility to cater for a wide range by the Kirk Session House and smaller buildings, which was used of community and commercial events at very modest cost to the as a market and meeting area, known as “City Hall Square.” At the users. The Main Hall could accommodate 1624 people, seated, beginning of the 20th century the building’s structural condition and the Lesser Hall 350. For dances, the figures were 550 and 250 was causing concern, and in 1908 it was decided to demolish it respectively. At the time of the building’s closure in 2005 it was and construct a new, larger Hall which opened in 1911 and stands, regularly booked for functions as diverse as conferences, balls and unaltered, to this day. pay-at-the door dances, pop, choral and orchestral concerts, school Concurrent with its construction, North and South St. John’s Place and college prize-giving ceremonies, craft fairs, flower shows, were extended and King Edward Street formed with the apparent book/CD sales and virtually any event arising from a community purpose of creating a distinct precinct for the City Hall and Kirk need. Very few of those uses are transferable to the Concert Hall which had previously been separated by the Session House. and have, consequently, been lost as generators of town centre Both buildings were now enclosed on three sides by continuous expenditure. frontages. Within the precinct, few of the secondary buildings To local traders, this loss is indisputable. The opportunity to are on the statutory list of buildings of architectural or historic reintroduce the best of these activities within the Lesser Hall is interest and, on the south side in particular, the frontages lack therefore an important consideration in PCMT’s proposal. the scale and quality of façade that would have been necessary to create a satisfactory square had the present Hall been demolished. Clockwise from right: foundation stone laying ceremony 1909, Sir Yet the precinct was within one of seven town centre Conservation Winston Churchill in 1948, Ordnance Survey 1860, design section 1908. 6
  • 9. SIGNIFICANCE OF THE BUILDING Perth City Hall is recognised as a building of regional importance through its Category B listing. This means that alterations to the building will require listed building consent. Our proposal takes account of this through an assessment of the significance of the building. We have assessed the cultural, historical and architectural significance of the individual elements of the building. From this grading of significance, the design proposals have been developed. Elements of Outstanding Significance: An element of international Lesser hall importance or a fine, intact, little altered example of a particular Foyer Main hall period, style or type. Elements of Considerable Significance: An element of regional or national importance, or a good example of a particular period, style or type with a high degree of intact original fabric that contributes substantially to the importance of the building or site overall. Elements of Moderate Significance: An element of local importance, or an element that contributes to, but is not a key element to the importance of the building or site overall. Neutral Elements: An element which neither contributes, nor detracts from the importance of the building or site overall. Negative Elements: An element which detracts from the overall significance of the building. The most significant elements of this building are its west elevations to King Edward Street, and the entrance foyer, and the two halls. It is important that these spaces are respected, and Bar Main hall Lesser hall that the interiors are kept as single-volume spaces, to retain the significance of the building. The subsidiary and service spaces are less significant. Ground floor significance plan above, first floor below. 7
  • 10. A preliminary scheme was prepared by Simpson for the PCMT PROPOSED ALTERATIONS in 2011. During the last year we have been able to develop these initial thoughts; access to the interior has been achieved, an informed assessment of the significance of interiors has been made and the interaction of the spaces has been reviewed. Our knowledge of the building has increased and this has impacted upon the scheme that is being presented today. A fundamental principle of the design is that the building is allowed to engage with the streets on every side; giving access to a new central market hall for Perth in the main hall space. To achieve we propose to drop the level of the existing floor down to pavement level allowing the main hall, side corridors and front entrance to be fully accessible to all. The challenge in developing the existing building is to retain its positive attributes and character and enhance them for new purposes. In our assessment the north and south elevations can be considered as possessing a lesser significance than those to the West elevation East elevation east and west. We therefore propose that their alteration can be justified to create a direct route into the main hall. In accordance with our assessment of significance, important decorative features such as the main stairs from the foyer and the magnificent vaulted ceiling in the main hall, will remain unaltered. We also propose to keep the first floor gallery level in the main hall. More space and better circulation can be created by building a floor out at the level of the existing corridor. This allows the upper floors to be planned around a large void that overlooks the new market hall and glass screens can be incorporated at first floor to reduce the effect of noise and smells within what will be the new enterprise zone. A bar, gallery and restaurant on the top floor will be open to the market and will benefit from spectacular rooftop views of Perth, particularly St John’s Kirk. We have created a new roof at second floor over the lesser hall to accommodate the restaurant and capitalise on the potential for al fresco dining on the existing south roof terrace. South elevation The Lesser Hall has significant architectural merit as a multifunctional space. It is proposed to maintain this room with its original features including the timber floor, altering only the windows to form a separate accessible grand entrance on the east side. 8
  • 11. We have considered the workings of the building as a whole, the inclusion of separate uses places some restrictions upon the way the spaces are divided and we have sought to make the most appropriate strategic decisions to create a cohesive plan. A further challenge is to create full disabled access to all areas and create a framework for these routes to work independently with the minimum of intervention. To this end we have introduced a number of lifts at key points, including a scenic glass lift within the main hall space, and kitchens at all levels, including the basement. Clockwise from top left: short section as proposed, proposed view of market hall, west elevation night view, Spittalfields market precedent, Leeds indoor market precedent, long section as proposed. 9
  • 12. St John’s Place retail units lesser hall king edward street market hall foyer Lift retail units outdoor market, south st john’s place 10
  • 13. youth VOID above VOID above Lift enterprise market hall lesser hall BUSINESS AND RETAIL UNITS 11
  • 14. NORTH TERACE KITCHEN GALLERY BAR VOID above Lift RESTAURANT market hall GALLERY SOUTH TERACE 12
  • 15. A DAY IN THE LIFE OF PERTH CITY HALL 6am Market opens for traders’ deliveries to the restaurant 2.00pm Wedding photographs are being taken on the new wide and main Market Hall (& for setting up temporary steps and ramp to east entrance of Lesser Hall, with stalls in the Lesser Hall when booked). Market office champagne reception inside. Note this Hall can be opens for business. completely separated from market with kitchen service from basement and first floor above stage. After dinner 7am Early bird breakfasts and coffee served from stall(s) on speeches are given from the stage. outer aisles of market. 2.30pm Shoppers laden with groceries from the market and Cleaners present on restaurant floor & office floor. surrounding shops escape to the rooftop café for afternoon tea. The Lesser Hall has been booked for a wedding party. Flowers and tables are set up for the reception 3.30pm Chefs commence masterclass within the rooftop following the marriage ceremony in St John's Kirk. restaurant area using market produce. 8am North and South Market doors open for early trading. 5.30pm Tourist Office closes, office receptions close. Market Workers start to arrive to enterprise offices on 1st floor Halls shut to public & scenic lift changes to key using separate lobbied entrances on north and south operation only. sides. 6pm Evening service begins for café & bar. Lesser Hall 8.30am Rooftop Café prepares for opening & accepting tables are cleared away & space cleaned. Cleaners also deliveries via lifts on north side. operating within Market Hall and foyer. Main foyer closed and public access to café floor restricted to south 9am Rooftop café opens for business with snack & coffee side stairs and lift. service, customers arrive via scenic lift from Market Hall and via separate street entrance. 6.30pm Main Market Hall closed and secured. 9.15am Main west doors open. Tourist Office and temporary 7pm Guests attending the wedding reception in the Lesser exhibition prepares to open within original entrance Hall are joined by evening guests in the restaurant and foyer. bar. 9.30am Tourist Office and temporary exhibition within foyer Chairs are set up in the Lesser Hall for an evening opens. Youth Enterprise units, offices and reception music recital. open for public visits using main stair from foyer and new lift in north west corner. 7.30pm The east doors of the Lesser Hall re-open to admit the audience for the recital. 10am Main market busy and additional temporary market stalls put out in St Johns square. Street artists begin 8pm Last office workers / Youth enterprise workers leave performances on Kirkside with the audience sitting via the south doors and this access is secured. on the new wide entrance steps to the east side of the 10pm The performance in Lesser Hall finishes and some of Lesser Hall. Food samples being offered to entice public the audience migrate to the rooftop restaurant and bar into the market. for last orders. Last food orders on top floor. 12pm Café begins lunch service overlooking the Market or the 11.30 pm Restaurant and bar facilities close, staff shut down & Kirk. Rooftop bar opens. secure floor. 13
  • 16. BUSINESS MODEL the marketing process begins. As already outlined, PCMT is Development Partnership will be wound up, at which point the constituted very simply as an unincorporated association, and all PCMT constitution assumes its final form. Perth City Market Trust aims to create a surplus from the costs to date have been met by the members and by partners on a operation of the Market Hall which will be reinvested in Firstly, instead of entering into leases or licences, market stall- pro bono basis. development of the Market Hall, the Market Square and outwards holders and enterprises such as the proposed restaurant will into the Perth environs of the Hall. The outcome of such a 'social Pre-planning – this stage ends with acceptance of the Stage 2 occupy the building on the basis of their status as 'Occupier business' model may be considered as 'profit for purpose'. detailed proposal and granting of planning consent in principle. Members' of PCMT. Such contractual rights of occupation through PCMT will continue to be an unincorporated association, which membership of a Mutual are common in the co-operative sector. The proposed framework evolves over the life of the project, will be a member of a transitional 'Development Partnership' and the financing and funding requirements, and the investment Secondly, market managers and administrators will neither be UK Limited Liability Partnership (LLP). The other Development necessary to meet these requirements, evolve with the model. The employees nor contractors but will be members of a class of PCMT Partnership members will firstly be the professionals involved guiding principles of our social business model are: simplicity, membership who participate in the success of the project. who will cover agreed costs but be expected to participate to an flexibility, collaboration, transparency, resilience and efficiency. agreed extent, and secondly, the financial investors necessary to Finally, investors will also participate as a class of PCMT We envisage four phases which lead to the creation of the Perth defray professional and other costs of the detailed plan. membership who invest directly in future rentals through a simple City Market Hall: 'prepay' investment instrument. This development financing will come from a mix of grants and Concept - the current phase which ends when Stage 2 of early stage equity investment in the LLP development vehicle. The sustainability of the PCMT enterprise model is based upon three elements. Planning and Development – this phase ends when rental flow commences from the completed building. At the commencement • Funding costs – these are minimised through the absence of of this phase, the unincorporated association will be incorporated compound interest and the reasonable level of return to long as a Company Limited by Guarantee which will thereafter be a term investors. member of the Development Partnership. • Affordable rentals – are, by definition, more likely to be paid, There are two possible options in respect of PCMT's tenure of the thereby minimising the risk to investors and justifying the property from Perth & Kinross Council. The preferred option is reasonable level of return. for the Council to transfer the freehold to PCMT similarly to the transfers to a CLG ownership vehicle akin to the Mount Stuart • Alignment of interests – all participants have a stake in the Trust and Applecross Trust. The Council may thereby both retain outcome of the Market Hall. suitably flexible safeguards in the public interest, and participate Core Revenues and Costs in the success of the project. It would be premature at this stage to do more than estimate Alternatively, the Council may enter into a long lease with PCMT, indicative costs for development and operation and the sources with all the attendant risks, but without participation in PCMT. of revenues which will provide a return to risk averse long term During this phase, development financing will come from a investors such as pension funds. It is anticipated that the cost combination of the following: grants; 'soft' loans and quasi-equity will be of the order of £x million after generous allowance for from heritage funders (eg the Architectural Heritage Fund); the co- contingencies. operative sector; the social enterprise sector (eg Big Issue Invest); Core revenues will be derived from Market Hall rentals, and from from risk-taking 'venture philanthropists' – ideally local - wishing rentals from the proposed restaurant and cafe/bar on the top to invest in the Development Partnership; and if necessary, from floor. While additional revenues are expected, for instance from banks. management of the Market Square and from the proposed Youth Hub Operation – this phase will sit within a 'multi-stakeholder' on the first floor, these are not relied upon in our business planning. corporate framework. Once the development is complete, the 14
  • 17. COMMUNITY AND STAKEHOLDER ENGAGEMENT The Trust aims to set very high standards of stakeholder engagement during the planning and development of the project, and of stakeholder participation once it is completed. Community The Trust will develop a programme of events and a media strategy in order to present our vision of “A Market Hall in a Market Square” for discussion and input by the Community. In particular, we shall invite recommendations for use of the first floor where we envisage the creation of a Youth Enterprise Hub. In carrying out this consultation, we shall engage with community bodies including for example the Perth Civic Trust, Chamber of Commerce, Guildry Incorporation, social enterprise networks, etc. Perth & Kinross Council The concept of a Market Hall in a Market Square could be the catalyst for a new civic strategy for Perth. We would wish to confer with Councillors on a non-partisan basis as well as with Council Officers in order to identify any potential planning issues and establish their fullest participation. Third Sector The Youth Enterprise Hub will create opportunities for engagement with educational and vocational bodies and other institutions that support social enterprise generally and develop youth enterprise in particular, such as the Prince’s Scottish Youth Enterprise Trust. 15
  • 18. NEXT STEPS To sum up, this outline development proposal is the first stage in developing our project and securing the lease on Perth City Hall. The next stage will be detailed and will require a considerable amount of work by Perth City Market Trust and our partners. We are already thinking about our next steps, which at this stage include the following: • To continue the work of our Steering Group, leading the project, developing key tasks and bringing in the expertise of others as required. • To formally constitute Perth City Market Trust. • To begin our programme of community engagement, with presentation, consultation and inclusion. • To develop detailed proposals for conversion of the City Hall. • To engage key stakeholders in our project, including Historic Scotland, the National Association of British Market Authorities and the National Federation of Market Traders, Perth Civic Trust and, if appropriate, Perth & Kinross Council, inviting pre-application discussion and feedback. • To develop our Business Plan, thoroughly testing the feasibility of our proposal for a Market Hall. • To fully develop our Funding Strategy in tandem with our Business Plan. • To invite subscription to Perth City Market Trust from all individuals and enterprises who share our aims and are keen to enable Perth City Market Hall to become a great success. 16
  • 19. This document has been produced by Simpson & Brown Architects for the Perth City Market Trust. 17