Faced with ongoing losses at the Airport and the expectation that no residuary sum will be payable, the City Council would in 2007 have little or no choice but to transfer of the freehold of the land for £1 and allow, subject to planning, the potential redevelopment of the airport site in its entirety for other uses. This creates a backdrop to the more recent discussions regarding the circumstances under which the City Council would consider early closure or limitation of the Airport facilities.
From the consultants report into EGSY, located on the Sheffield City Council website and reported on regional TV news this evening (you can see a nice red helicopter looking sad in the background if you are quick ...)
http://www.sheffield.gov.uk/index.asp?pgid=49526
The same consultants who have been advising SCA since 1998, so throughout the period of airport operation - (
www.yorkaviation.co.uk) also note later in the report that to continue operating the airport would require a reimbursement to the operator.
Given the fact that the Airport continues to make a loss and looks set to do so for the foreseeable future, the original Development Agreement and Lease mean that the Developer is within its rights to close the Airport in 2007. The only options open to the public sector are to buy out the developer and support the operation of the Airport financially at a cost of upwards of £25 million or agree to its closure.
Either by accident or design, the SCC website was updated by somebody named Slaughter. How ironic..