Plans to create a vibrant new quarter in central Bath are gaining momentum again after delays. Bath and North East Somerset Council is moving forward by establishing a limited liability partnership (LLP) to deliver 96 new homes as part of the Bath Quays North development.
The project aims to transform the Avon Street and Green Park Road car parks into modern city blocks featuring pedestrianised streets, offices, and much-needed housing. Originally hailed in 2019 as the most significant development in Bath for a generation, the scheme stalled when the original developer, Legal & General, withdrew post-COVID, and construction failed to commence.
Now, the council is taking direct control of the housing aspect. At the upcoming cabinet meeting on Thursday, November 13, a vote will decide on forming an LLP between the council and its wholly-owned building company, Aequus, to oversee the construction of the 96 homes.
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An official report recommends the LLP model as the most efficient for taking on associated risks, describing it as a commercial entity better equipped than the council alone to manage the project’s challenges. The council is prioritising housing delivery while continuing to seek a new development partner for the broader scheme.
In a move to expand collaboration, the council signed a memorandum of understanding with the University of Bath last year. The university is exploring the site’s potential for research, innovation, and enterprise activities, complementing the residential and office plans.
While planning permission for the main Avon Street Car Park development was granted last year, the LLP will focus initially on homes at Green Park Road Car Park, where only outline planning permission currently exists. Aequus submitted a reserved matters planning application in January to progress this phase.
Council cabinet member Matt McCabe highlighted the mixed housing approach, including market, affordable, and social housing, which will diversify local supply and support future phases of affordable homebuilding. The LLP will be exclusively dedicated to Bath Quays North, but success with this model could lead to similar structures for future regeneration initiatives.
Financially, the LLP offers tax advantages, as the council’s share of profits would be exempt from corporation tax, allowing funds to be reinvested in regeneration and housing services. The council cabinet will also vote on lending the LLP the necessary development funds. Details of the full business case remain confidential due to commercial sensitivity.