Setback for £41 million redevelopment of former department store

Richard Youle, Local Democracy Reporter

A multi-million pound regeneration project centred on a former department store has hit difficulties after an unexpected structural problem emerged during redevelopment works.

Carmarthenshire County Council began work on the former Debenhams store in Carmarthen in 2024 as part of a scheme expected to cost around £41 million.

Speaking in January this year, cabinet member for resources Cllr Alun Lenny said £2 million was being set aside to rectify the issue and that he’d asked for a full report for councillors and the public.

He said: “Although a detailed structural survey was conducted I’m told that this defect would not have been detected until the very extensive construction work had reached a recent stage. This has resulted in extra costs and delays – which we have no choice but to address.”

Asked this week by the Local Democracy Reporting Service when the report requested by Cllr Lenny would be made public, a council spokeswoman said: “The council is continuing to assess the issues identified at the former Debenhams building, and work is ongoing to fully understand the impact.

“At this stage, we do not anticipate publishing a formal report as such. Instead, a position update will be provided once all necessary information has been gathered and considerations concluded. We are not yet able to confirm a timescale for this.”

The council-led project, called Atriwm, will convert the St Catherine’s Walk Shopping Centre building into 24-hour gym and children’s play centre. It’ll also incorporate electric go-karting, an obstacle course, and indoor golf.

Customer service hub

In addition Atriwm will be home to a council customer service hub and visitor information outlet. Hywel Dda University Health Board and University of Wales Trinity Saint David are also involved the project and will offer various therapies and services there.

The £41 million upgrade is being funded by the UK and Welsh Governments, which are providing £28.2 million, along with a £12.8m council contribution.

Atriwm is expected to open in 2027. A three-way way traffic management system on St Catherine’s Street is likely to remain in place until autumn this year.

Labour opposition councillor and former council leader, Cllr Kevin Madge, called for an inquiry into the costly project at a budget meeting in February. He said it was needed to “restore public confidence”.

Cllr Madge said Labour had “tremendous concerns over governance and project control” and wanted to know what ongoing maintenance costs would be. Plaid Cymru’s Cllr Lenny responded to say the council had a choice in 2021 to step in or “wash our hands of” of the building after Debenhams went into administration and that it had opted for the former. “It will be a fantastic resource for the town and its rural hinterland,” he said.