True or not, ADUG seem to be slowing down the pace of investment in the Manchester. Yes, other Manchester University projects are still being funded, ie, Graphene, and so is Manchester Life, a housing partnership between ADUG and the city council, but funding for the Fallowfield Campus has now been withdraw, and the Collar site and Etihad Campus land around the stadium still remains undeveloped, with absolutely no new news about either. Not to mention no new news about the further expansion of the Eithad. Hmmm.
Perhaps the reent and on-going low Crude/Oil prices have focused minds in Abu Dhabi?
MEN.
THE MEN's take on it.
The move came after costs rocketed for the Owens Parks project - but the university insists it has been made through 'mutual agreement'
Manchester City’s bosses have dramatically pulled out of funding the £175m flagship redevelopment of Fallowfield’s Owens Park campus.
The Mubadala Development Company, an Abu Dhabi-based firm run by City’s chairman Khaldoon Al Mubarak, withdrew after the cost of the project rocketed.
University bosses insist that is not the reason, however, adding that they have ‘mutually agreed’ not to proceed because an ‘alternative funding model’ is required.
Asked what that funding model might entail, a spokesman told the M.E.N. he was ‘unable to say anything more’.
Despite the move dealing a huge blow to the project, Manchester university insists it will still go ahead as part of more than £1bn in investment across its campuses.
The university unveiled radical plans to completely overhaul the ageing campus - including the demolition of the landmark tower on Wilmslow Road - two years ago.
Its masterplan included a state-of-the-art new student village and 800 new rooms, in a bid to make Fallowfield the ‘jewel in the crown’ of the city’s university experience once more
Overall cost estimates at the time were between £175m and £200m.
Six months after the plans were revealed Mubadala, which is owned by the Abu Dhabi government and is also part-funding the university’s new Graphene and Engineering Innovation Centre, announced it would be investing £175m in the project.
Last December planning permission was granted, with the first phase meant to be complete and ready for occupation by September 2018.
But the investment giant has now suddenly withdrawn.
In a statement the university admitted the bids it had received over the last 12 months from building contractors had been ‘substantially in excess of the budget and made the project unaffordable in its current form’.
Asked whether that was the reason for Mubadala’s decision, it denied that was the case, adding that it was the result of the first stages of scoping work.
“In the course of completing this phase it has become clear that an alternative funding model will be optimal for the delivery of the new accommodation,” it said
“The University of Manchester and Mubadala have therefore mutually agreed not to proceed with their current collaboration agreement.
"The University of Manchester is committed to redeveloping the Fallowfield student village to provide new student rooms and facilities and is now developing a new business plan and funding model to enable this exciting development to proceed.”
It insists the Owens Park tower will still be demolished and that the move will not lead to any shortfall of student housing provision either this year or in subsequent years.
Only ‘preparatory work’ had begun on the site - which is still occupied - it said, rather than full building work.
The university refused to disclose how much it had spent on the project to date but insisted the spend would ‘still be used’ because it plans to push ahead with it.
Perhaps the reent and on-going low Crude/Oil prices have focused minds in Abu Dhabi?
MEN.
THE MEN's take on it.
The move came after costs rocketed for the Owens Parks project - but the university insists it has been made through 'mutual agreement'
Manchester City’s bosses have dramatically pulled out of funding the £175m flagship redevelopment of Fallowfield’s Owens Park campus.
The Mubadala Development Company, an Abu Dhabi-based firm run by City’s chairman Khaldoon Al Mubarak, withdrew after the cost of the project rocketed.
University bosses insist that is not the reason, however, adding that they have ‘mutually agreed’ not to proceed because an ‘alternative funding model’ is required.
Asked what that funding model might entail, a spokesman told the M.E.N. he was ‘unable to say anything more’.
Despite the move dealing a huge blow to the project, Manchester university insists it will still go ahead as part of more than £1bn in investment across its campuses.
The university unveiled radical plans to completely overhaul the ageing campus - including the demolition of the landmark tower on Wilmslow Road - two years ago.
Its masterplan included a state-of-the-art new student village and 800 new rooms, in a bid to make Fallowfield the ‘jewel in the crown’ of the city’s university experience once more
Overall cost estimates at the time were between £175m and £200m.
Six months after the plans were revealed Mubadala, which is owned by the Abu Dhabi government and is also part-funding the university’s new Graphene and Engineering Innovation Centre, announced it would be investing £175m in the project.
Last December planning permission was granted, with the first phase meant to be complete and ready for occupation by September 2018.
But the investment giant has now suddenly withdrawn.
In a statement the university admitted the bids it had received over the last 12 months from building contractors had been ‘substantially in excess of the budget and made the project unaffordable in its current form’.
Asked whether that was the reason for Mubadala’s decision, it denied that was the case, adding that it was the result of the first stages of scoping work.
“In the course of completing this phase it has become clear that an alternative funding model will be optimal for the delivery of the new accommodation,” it said
“The University of Manchester and Mubadala have therefore mutually agreed not to proceed with their current collaboration agreement.
"The University of Manchester is committed to redeveloping the Fallowfield student village to provide new student rooms and facilities and is now developing a new business plan and funding model to enable this exciting development to proceed.”
It insists the Owens Park tower will still be demolished and that the move will not lead to any shortfall of student housing provision either this year or in subsequent years.
Only ‘preparatory work’ had begun on the site - which is still occupied - it said, rather than full building work.
The university refused to disclose how much it had spent on the project to date but insisted the spend would ‘still be used’ because it plans to push ahead with it.