Business

Developer expresses ‘frustration’ over Stormont department’s delay in deciding fate of £20m north coast hotel

Bid for 119-bed Portstewart spa resort was first launched in 2016

Visuals produced by C&V Developments in support of their latest bid for the Merrow Hotel & Spa in Portstewart.
Visuals produced by C&V Developments in support of its bid for the Merrow Hotel & Spa in Portstewart.

The developer behind a £20 million hotel project on the north coast has expressed frustration over the length of time the Department of Infrastructure (DfI) is taking to decide whether or not it will ‘call in’ the planning application.

An eight-year planning saga over the bid to build the Merrow Hotel in Portstewart appeared to have been resolved on August 28, when Causeway Coast & Glen’s planning committee unanimously approved C&V Development’s application for the second time.

The project, which faced a number of legal challenges, proposes a 119-bedroom spa hotel close to the start and finish line of the North West 200.

A spokesperson for Causeway Coast & Glens said a DfI direction issued in November 2019 in respect of the hotel bid means the council cannot issue a decision notice without the final sign-off from the Stormont department.

The direction came into effect during a period when the executive was dissolved and senior civil servants were left in charge of Stormont’s departments.

Despite the council referring its decision to DfI on September 3, it is still waiting on a response.

More than 10 weeks on, DfI said it still considering the notification.

A spokesperson said: “A decision will be made as soon as possible on whether or not the application should be referred (‘called in’) to it for determination.”

If the application is called in, DfI will assume responsibility for the final decision, in a process that could significantly extend the eight year planning saga.

First proposed in 2016, C&V Developments Ltd has faced a number of legal challenges.



TUV leader Jim Allister mounted a successful judicial review challenge in 2019, where it emerged that an easement over lands at the entrance to the proposed hotel site had been granted for £1 - without a valuation having first been secured by the council.

Concern over the way the local authorities dealt with land disposals prompted a probe by the north’s Local Government Auditor.

The latest objection over “a sliver of land” purported to belong to a third party, who had not been consulted, was withdrawn earlier this year.

Vivienne Gilholm of C&V Developments described the latest delay as “extremely frustrating”, stating that it is holding back investment and job creation in the area.

“We of course understand that due process should be followed, and we wouldn’t accept anything less,” she said.

Visuals produced by C&V Developments in support of their latest bid for the Merrow Hotel & Spa in Portstewart.
Visuals produced by C&V Developments in support of its bid for the Merrow Hotel & Spa in Portstewart.

“But 10 weeks have passed, and we have not even received an indication as to when the department will reach a position on the application.

“This creates an extremely challenging environment for those of us working hard to invest in Northern Ireland.”

Karen Yates, chief executive of Causeway Chamber said the business body has long highlighted the need for more high-quality hotel accommodation in the area.

She said any unnecessary delays in the planning process must be avoided.

“Despite many frustrations and setbacks, C&V Developments have remained totally committed to investing in the north coast, and as the local chamber we would encourage the Department for Infrastructure to reach a positive decision on the application as soon as possible.”