The properties in Pitt Street were at the centre of a long-running battle between the Co-op and heritage campaigners after the retailer announced plans to redevelop the area.
Under the original plans, the Co-op said that four of the six buildings were to be demolished to make way for a development comprising a new store, offices and a hotel. However, following discussions, the Co-op agreed to save the four buildings and sell three of them to the Trust for a nominal sum of £1. The others are expected to be demolished.
Now the Trust wants to turn its three buildings into self-catering holiday lets, similar to many others around the Island.
However, the plans recently suffered a setback after the Trust had an application for £300,000 from the Tourism Development Fund rejected.
Charles Alluto, the Trust’s chief executive, has written to the Economic Development Minister to express his disappointment.
He said: ‘The funding would have been very helpful. Currently we have £700,000 allocated for the project but, in total we need £1.2 million, so we are rather short in terms of funding. The Trust is therefore reviewing the plans and we may have to revert to long-term lets instead.
‘We are looking at alternatives like going through private foundations based in the UK, and also launching local fundraising initiatives.’
Mr Alluto said that the plans were suitable for the Tourism Development Fund, as they could also attract more tourists to the Island. ‘It could be something unique, similar to the forts and towers project that has been seen around the Island,’ he added.
‘We have enough money to kick-start the project and we will begin some preliminary structural repairs early next year. The second phase is what we would need to fundraise for, which would be for the internal fit-out.’
Economic Development Minister Lyndon Farnham said that he supported the project but that other funding options had to be explored.
‘I would like to see the National Trust try to raise their own finance before we commit to what could be a very profitable venture for them,’ he said. ‘Not only will they inherit a valuable asset, but once the project is up and running, they will have a healthy commercial income. With this in mind, I do not see why we should be using taxpayers’ money.’
The minister added that the fund was now running low and that he was working hard to replenish it. ‘I think it would send out the wrong message to the tourism industry if the Tourism Development Fund was not supported.
‘We currently only have £56,000 left and I will be asking for £1 million if the Medium-Term Financial Plan is approved,’ he added.
