Work on a long-awaited Herne Bay regeneration project could finally start next year – spelling the end for “the worst building on the seafront”.
Canterbury City Council has agreed to push ahead with the multi-million pound scheme, splitting it into two phases in a bid to meet funding deadlines and improve viability.
It means the replacement of the eyesore Tivoli arcade in Central Parade could begin before March 2026 – unlocking a government grant of almost £555,000 and kickstarting a project described as vital for the town.
At a recent full council meeting, councillors voted to back a recommendation from cabinet to proceed with a phased approach that prioritises developing the seafront frontage first.
The second phase, involving the Beach Street car parks to the rear of the derelict arcade, would follow later as a 100% affordable housing scheme, subject to external funding.
What’s planned – and when?
The original scheme, approved in 2019, included 33 homes – some of which were to be sold privately – alongside 4,000 sq ft of commercial space across the Tivoli site and Beach Street car parks.
It was later shelved due to financial pressures following the Covid pandemic.
Earlier this year, a fresh assessment concluded the approved project was no longer financially viable, so officers recommended redrawing the plans and splitting the work into two phases.
The first will focus on the Tivoli building, delivering up to six flats and a ground-floor commercial unit on the Central Parade frontage.
Phase two would involve the redevelopment of the car parks off Beach Street into affordable homes, with council officers set to pursue funding from Homes England to help bridge a predicted financial shortfall.
A planning application for the new-look scheme is expected in the coming months.
Council documents suggest the aim is to start work on site before March 2026 – the deadline to satisfy conditions attached to a £554,500 Brownfield Land Release Fund (BLRF) grant.
If that deadline is missed, the government cash could be lost.
Why the delay?
The council bought the Tivoli site in 2018 for £1.1 million and secured planning permission the following year.
But the pandemic halted progress, and costs have since spiralled due to inflation, supply chain issues and design complexities.
An earlier attempt to market the site to developers was unsuccessful, with officers concluding the land would likely sit empty or be redeveloped without affordable housing if sold privately.
Documents warn Phase One is “marginal” in viability, with the potential to break even or make a loss.
But the council hopes the seafront location and sea views will maximise returns and justify the upfront investment.
Cabinet member Cllr Mike Sole acknowledged the financial challenges involved in the project.
“It’s a financially difficult site,” he told councillors.
“It’s not an easy project. My hands are on the purse strings. I don’t want us to lose money on this – we haven’t got the money to lose on it.
“As it says in the report, the first phase could go one way or another – we hope we’ll at least break even on it.
“We’re doing this for Herne Bay and for the council, and when we move into Phase Two, hopefully we can put more housing on the site as well.”
What do councillors think?
Herne ward councillor Tom Mellish said residents had waited “decades” for action and welcomed the push to get moving.
Opposition leader Cllr Rachel Carnac supported using the BLRF cash, but added there should be “proper engagement with residents in Heron ward before we spend many more hundreds of thousands of pounds on a project that is not what people would expect or want”.
“We just don’t want a Plaza Two,” she said, referencing the unpopular seafront pedestrianisation scheme that was later reversed.
Council leader Cllr Alan Baldock said a phased approach would allow the authority to “get a decent frontage onto the esplanade quickly – hopefully within a couple years – and then after that we build out the back in social housing, which would be absolutely amazing”.
He acknowledged the decision had taken time, saying: “It was quite a tortured process to get where we are.”
What happens now?
The council has allocated £350,000 from the capital budget to progress the work, including submitting new planning applications, redesigning the scheme and appointing a contractor.
Council officers will simultaneously seek grants to support Phase Two.
Work on the Tivoli building is expected to begin before March 2026, with hopes that replacing the run-down façade with modern flats and shops will kickstart wider improvements to Herne Bay’s seafront.
