6:09am Wednesday 9th December 2015
By Joel Adams
A DEVELOPER bidding to build a private members’ club on a prime spot of Brighton seafront is currently under investigation by the tax authorities, The Argus can exclusively reveal. The proposal by Brighton Seafront Regeneration Ltd and Soho House would see an exclusive club built on a terraced stretch between Camelford Street and Madeira Place. The development would include a grassy rooftop bar and a plunge pool for members, as well as several restaurants open to the public in adjacent units. But The Argus has learned Brighton Seafront Regeneration, which was set up solely for the development, could face a fine of around £9,000 for failing to file accounts with Companies House for more than three years. The company is being investigated by Her Majesty’s Revenue and Customs (HMRC) over whether it has paid the right amount of tax. A director for the company said the investigation was still ongoing but said the matter was now “agreed in principle" and said the company may escape a fine. But a resident opposed to the development said it was “scary” a company involved in an ongoing tax dispute was planning such a major city centre project. George Davies, who lives in the Van Alen building, which is due to be affected, said: “It strikes us as scary this company which has failed to file its accounts is looking to take such a large piece of Brighton." He added: “Soho House are most welcome in the city but it is greedy to take the sea view from the people of Brighton just to give it to the members of a private club.” The development would stand between 2m and 4m higher than the Marine Parade sea wall and block the view for nearly 100m. Architects, councillors and residents have criticised the plans, saying the seafront should be for all to enjoy, not just those who can afford a club membership fees. Tim Robinson, director of Brighton Seafront Regeneration explained the failure to file accounts was due to a “dispute with the revenue over capital allowances” which led to a lengthy investigation by the tax authorities, during which time the company had not filed accounts. Capital allowances are the sums of money a UK business can deduct from the overall corporate or income tax on its profits. Mr Robinson said a bank loan of £9.5 million, visible on the last published accounts, had been repaid, but that the firm is currently more than £10 million in debt to its sole shareholder, London property developer Mark Wadhwa. HMRC said it had a statutory duty of confidentiality and would not comment on individual cases. A spokesman for Brighton and Hove city council said a prospective developer’s financial position was not taken into consideration when making a planning decision. Soho House did not return a request from The Argus for comment. Councillors will meet at 2pm today to decide whether to approve plans. WORRIES OVER HOW PLANS WILL LOOK PROVING THORN IN THE SIDE THE one thing all parties in the seafront debate agree on is the need for redevelopment. Councillors, residents, developers and businesses are united in their desire to see improved amenities and infrastructure along the city’s shoreline. The plight of iconic structures from the Arches to the Terraces, which have languished following underinvestment and lack of use, have been a key feature in The Argus’ Seafront 2020 campaign. But few beyond London-based members-only club Soho House back the proposed development in Marine Parade, which will affect 100 metres worth of sea views for a distance of 100 metres. Councillor Dan Chapman, the Labour member Queens Park, who co-authored an objection to the application to transform the Terraces, said: “Something needs to be done with it. But with the increased height it is going to restrict the view for residents and people walking along the street. “They want to limit it to a certain section of people but it should be for all to enjoy, residents and visitors.” Chris Cage, an architect who lives in Camelford Street, agreed. He said: “It is better that it’s occupied and used than left empty, but my concern is that this is going to be an exclusive space, not something for everybody to enjoy.” He added the size of the proposed building would violate a planning precedent to keep the sea visible all along Marine Parade, as well as from side streets by shoppers and revellers on St James’ Street. “They’ve had a planning principle over the years that no building should extend higher than the sea wall,” he said. “This is going to block the view for a distance of some 100 metres.” Thirty-five letters of objection have already been submitted with The Kingscliffe Society, Brighton Society, Regency Society and the Conservation Advisory Group also against the plans. Local hoteliers, including iconic gay hotel Legends, have objected to the application on the grounds of “loss of amenity.” Professor John Watts, an architect speaking on behalf or Legends and The Amsterdam Hotel, said: “The hotels rely on the sea view. “They’ve made a huge contribution to Brighton’s economy for years but they’re losing their sea view and therefore the hotel will be at a disadvantage from a trading viewpoint.” Terry Kinsella, who lives in the affected Van Alen building, said: “They’re obliterating the view. “For 100 metres you’ll see nothing but a huge blank white wall with a few portholes windows in it.” The company first put in an application last year only to withdraw it in March following concerns about the impact on sea views. In the amended plans, the development has been separated into two buildings with a 10 metre gap, allowing some unrestricted views to the sea. If granted permission, the existing buildings will either be demolished or renovated. the development will occupy both levels of one half of the development, and include a bar, games room, restaurant, private terrace and a plunge pool with sea views. A number of restaurants which will be open to the public are also part of the plans including the Chicken Shop, Dirty Burger, Pizza East and a fish restaurant by award-winning Gingerman group. Planning officer Sue Dubberley said councillors should grant permission provided developers pay £50,000 towards transport improvements and satisfy a number of other conditions. Ian Coomber, the developers’ planning consultant, stressed efforts had been made to accommodate residents’ concerns over what he called a “relatively insensitive slab of building". He said: “We have had extensive discussions with over 30 affected residents, trying to take their consideration into account. But he added: “There is no planning right to retain a sea view from a private or hotel room window.” He pointed out that the new plans echo the Van Alen building’s rounded-cornered design, meaning the gap between the building will allow for greater visibility through to the sea than would otherwise be the case. He added: “This planning application has been vetted by the planning authority as well as teams from environmental health, ecologists, the police, and so on.” The fate of the multimillion-pound development will be decided tonight. As they make their decision, councillors may wish to consider resident George Davies warning: “Once a view is gone, it’s gone forever.” EMBRACE THE NEW BUT PRESERVE CULTURE LIKE our readers The Argus cares about our unique environment, the combination of factors which make our communities the UK’s most attractive to live in. But to preserve their special status this newspaper believes it is time for co-ordinated action, for people of vision to outline the medium term future of our city and towns and natural spaces. The seafronts give us our livelihoods and our well-being. Yet it could be argued that pressures are rising, with investment needed to avoid decline in our infrastructure. Piecemeal action will not be enough. A coherent programme is needed all along the Sussex coast, from Hastings in the east to Bognor in the west, to ensure we win support and funds for a vision that has our seafront evolving, embracing the new but preserving the heritage that gives us unique character. This is not just a project for our politicians and leaders, but for all of us. We all have a voice and a role to play in protecting its future. Seafront 2020 is a manifesto we hope will serve as a rallying call to begin this work. At the very least we hope it will fire a starting gun for a comprehensive debate on the path ahead.
ON DECEMBER 9 The Argus reported on a company developing a site on Brighton’s seafront under the heading “Revealed: Soho House Developer under investigation for taxes”. Share article A director for Brighton Seafront Regeneration Ltd, Tim Robinson, told us his company had not filed accounts for three years due to a dispute with HMRC over capital allowances. Another spokesman for the company has since clarified that the issue related to Brighton Seafront Regeneration's reclaim of taxes, not a claim by HMRC for taxes owing, and the matter had been concluded before the article was published.
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