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Business / Co-op disappointed as Sandwick and Scalloway store projects ‘unable to proceed’

Photo: Malcolm Younger for Shetland News

THE CO-OP says it is “disappointed” that plans for two new stores in Sandwick and Scalloway have been put on hold.

Property developer Seamount, which was leading the two projects, said a 50 per cent increase in building costs over the last two years and contractor availability meant it was “unable to proceed”.

Both stores were given planning permission in 2021 and Seamount said at the time that they could open by early 2023.

But with no progress on the ground, it has been confirmed that the projects are dead in the water for now.

Both stores raised significant concern among some in the community over the prospect of the impact they would have on existing local shops in Sandwick and Scalloway.

Seamount said if the situation with build costs changed then it would be happy to revisit the proposals.

A spokesperson for the Co-op said: “Co-op is committed to serving Shetland communities from its stores in Brae and Lerwick and, while we do not own the proposed new sites, nor have control or involvement in the development, we share the developer’s disappointment that works are unable to progress at this time.”

Meanwhile Shetland groups have been invited to apply to take part in the Co-op Local Community Fund as applications open.

The fund has supported over 30,000 local community projects across the UK since its launch in 2016, and charities and organisations can apply up until 11 June to be considered for the next round of funding.

The Voxter Centre Trust, Ability Shetland and the Lerwick Lifeboat have all recently benefitted.

Community groups interested in applying for funding should visit here.

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