Letter: Hope for split profits from Prdudhoe's new retail park

But, it must be remembered how the development came about.

The then Arch (Commercial Enterprises) Ltd (now replaced by Advance Northumberland) set up Prudhoe Estates LLP, which is a property development company.

The purpose of Prudhoe Estates LLP was to develop land, known as Princess Way at Low Prudhoe, and in order to do this a joint venture agreement with the Duke of Northumberland's property arm, Northumberland Estates (NE), was formed with both parties holding a 50 per cent ownership in Prudhoe Estate LLP.

The then Arch (Commercial Enterprise), Ltd, which owned the said land, transferred legal title, valued at £1,825,000 to Prudhoe Estates LLP (PE), and NE paid £912,000 in cash to PE.

Planning approval was obtained, and the site was renamed as Tyneview Retail Park (TRP).

This means that the council tax payers of the county own a 50 per cent share in the TRP, as Advance Northumberland is wholly owned by Northumberland County Council (NCC).

It does raise the question why did NCC need to form a joint enterprise with the Duke, when they owned the land at Princess way?

Why was it not possible for the council's wholly owned property arm, Advance Northumberland, to develop the said land without involving NE?

I did write to Advance Northumberland and asked to be provided with copies of minutes of the meetings that led to a joint venture with NE being agreed, but was told this was in commercial confidence and the information could not be released.

However, it did state that the Duke holds restrictive covenants on the land at Princess Way and this could have made it difficult to develop the land.

I pointed out that no local planning authorities in England ever considered restrictive covenants as an impediment when approving planning applications.

I can only hope when, TRP is fully occupied, that the financial revenue generated through renting, etc is split on a 50/50 basis between NE and PE accordingly.

PETER GALLAGHER

London