(R78) Bromley Council Press Release - 2 April 2003

SETTLEMENT WITH LONDON AND REGIONAL PROPERTIES LTD

The London Borough of Bromley has reached an out-of-court settlement with London and Regional Properties Limited (L&R), relating to the Council’s claim for breach for contract.

In 1999, the Council entered into an agreement with L&R for it to develop the derelict site of the former Crystal Palace as a leisure complex. In May 2001, the Council terminated the agreement as L&R had failed to complete the lease within the prescribed period, and began a general damages claim for breach of contract.

Following negotiations between the Council’s solicitors and those of L&R a settlement has been reached. L&R will pay to the Council a total of £1.4 million over two years. The Council also retains L&R’s deposit of £600,000, bringing the total to £2 million.

Council Leader Michael Tickner said:

“We are delighted that a settlement has been reached and further protracted legal proceedings will be avoided. We can now put this behind us and get on with finding a long-term solution for the Crystal Palace Park hilltop site, in consultation with local residents and groups.”

2/4/03 Last updated2/4/03