Shopping centre purchased in boost to regeneration plans for town

A town centre shopping complex hit by structural issues has been bought by the local authority in a £5.37m deal described as a potential “game changer” for regeneration plans.

Bridgend council has purchased the Rhiw Shopping Centre, a 2.27-acre site at the heart of the town, with plans to unlock new investment and reshape the area’s future.

The move comes against the backdrop of long-running issues linked to reinforced autoclaved aerated concrete (RAAC), which forced the closure of the town’s indoor market building in September 2023 over safety concerns.

The closure displaced around 17 traders, with some relocating to temporary units within the Rhiw Shopping Centre and others moving elsewhere in the town.

Further complications emerged in 2024 when a Freedom of Information request revealed the council was tied into a 99-year “full repairing lease” on the market building — meaning it remained responsible for costly repairs while paying annual rent of more than £130,000, despite the site being unusable.

Council leaders said the purchase of the Rhiw Shopping Centre would help bring greater control and stability to the situation, avoiding the risk of the site being sold off in parts and allowing long-term decisions to be taken in the interests of the town.

Council leader John Spanswick said: “This deal has the potential to be a game changer for the future of Bridgend town centre, and I am grateful to Welsh Government for helping to fund the purchase of the Rhiw Shopping Centre.

“The Rhiw has been an important part of the town centre for more than 50 years, but its future was uncertain after RAAC was detected within the infrastructure of the building.

“As a result, the council can now safeguard against the Rhiw Shopping Centre being sold off piecemeal to developers, manage any further instances where RAAC may have an impact, and control how the site will be used for the overall benefit of traders and residents.”

The acquisition has been funded through £2.45m from the Welsh Government’s Transforming Towns programme, alongside £1.8m from the council’s revenue budget and just over £1m from its capital programme.

Councillor Neelo Farr, cabinet member for regeneration, said the building was nearing “the end of its economic life” and warned against allowing it to fall into decline.

Opportunities

She added that the scale of the site created significant opportunities, including the potential for a new market, community facilities and improved public spaces.

The shopping centre will continue operating while plans are developed, with traders set to be consulted and supported as part of the regeneration process.

Welsh Government cabinet secretary Jayne Bryant said the deal would unlock “significant regeneration opportunities” and help deliver long-term improvements for residents and visitors.