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Wood Family Trust demonstrates its confidence in cost estimates for the City Garden Project

To demonstrate its confidence in the cost estimates for the City Garden Project, Wood Family Trust is prepared to make additional funds available to the City Garden Project in the very unlikely event of cost over-runs.

Following discussion with the Leader of Aberdeen Town Council, Callum McCaig, and Chief Executive, Val Watts, the Trust has offered to give an under-taking to the Council to make available a reserve contingency of up to 25% of the £140m budget i.e. an additional £35m to cover genuine cost over runs in the City Garden Project.

Sir Ian Wood, Chairman of WFT, said "Concerns have been expressed about the impact of any potential cost over-run to the City Garden Project. These are being irresponsibly fuelled by mis-information and unfounded speculation.

“The estimated total cost of £140m has been carefully worked out by the design team, and verified by independent technical experts. The Granite Web is a particularly cost effective design, which should definitely be delivered within the £140m estimate, which already includes some contingencies.

“However, to reassure the tax payer that this project will not take funds away from local services provided by the Council and to demonstrate my confidence in the cost estimates, Wood Family Trust will give an undertaking to the Council to pay for any cost over run up to 25% of the £140m estimate to cover the very unlikely event of any cost escalation. This should eliminate any concerns on this issue".

“Our offer of contingency cost funding also reflects our concern that there's simply too much at stake here for Aberdeen and its citizens We now have the opportunity to secure a £182m investment at no cost to the council tax payer of the council. This investment covers the City Garden Project, the redevelopment of Aberdeen Art Gallery, St Nicholas House, the North Denburn Valley and the City Circle.

“The robust and conservative figures in the TIF business case demonstrate the creation of over 6,000 jobs and an additional £122m in the economy every year. The PricewaterhouseCoopers report also confirms the additional rates from the resultant business growth will be more than enough to repay the funds borrowed by Aberdeen City Council under the TIF.

“As the oil generation citizens of Aberdeen, we have this once in a lifetime chance to transform our city with an enormous investment – an investment which will be lost forever and given to another area of Scotland unless we grasp the opportunity.”

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