Empty Gloucester Docks Warehouses Cost Taxpayers £132,000 Annually

Since their closure in 2019, Gloucester City Council’s former offices in Gloucester Docks—the Herbert, Kimberley, and Philpotts (HKP) warehouses—have remained empty, accruing significant maintenance and security costs. Over the past several years, these historic buildings above Dr Foster have cost taxpayers approximately £132,000 annually.

The council has been actively seeking to sell the HKP warehouses since 2023, listing the property at a price of £2 million. However, the site’s development poses challenges. Council leader Jeremy Hilton described the location as a “difficult site” due to existing tenants occupying the ground floor, complicating redevelopment efforts.

At a recent full council meeting, Labour Councillor Karen James (Kingsway) highlighted the financial burden the empty buildings represent. She emphasized that keeping the warehouses vacant for such an extended period is neither practical nor cost-effective, especially during a time when the city’s finances are under pressure.

While the initial plan was to convert the warehouses into student accommodation, interest from potential buyers has shifted. The current prospective developer is reevaluating the site’s future due to updated planning guidance indicating there is no current demand for student housing in Gloucester.

Council leader Hilton confirmed that negotiations remain ongoing, and the council is hopeful a sale can proceed soon. Completing the sale earlier would allow the council to avoid borrowing £2 million, which is tied to the original sale price and is part of the larger capital sales strategy designed to help cover the council’s £15.5 million financial shortfall.

Councillor James insisted the council must make the best use of its assets. She urged for decisive action to market and sell properties like HKP promptly to maximize their market value and relieve ongoing financial pressure on taxpayers.