CITY CENTRE traders could be forced to quit their premises in order to bring forward a multi-million pound regeneration project.

The Daily Echo can reveal that Southampton City Council is looking to compulsory purchase three business premises on Queensway in Southampton and then sell them to the developer Tellon Capital, the Bargate shopping centre owners.

The block in which they stand is destined to be bulldozed to make way for part of the £100m Bargate Quarter development which will create a “terraced garden street” linking the 12th century Bargate monument to Queensway.

Developer Tellon currently own the majority of the site but there are still some properties that have not agreed to end their leases.

The businesses affected are Pack and Send, Casanova Italian restaurant and the British Heart Foundation.

Their neighbours, Tiffany’s women’s clothing shop and Naomi House charity store, have agreed terms with Tellon to move out.

Meridian Logistics Ltd, the franchise owners of Pack and Send, feel that they have been unfairly treated by the developers.

Owner Colin McDonald said: “I am not surprised that a CPO (compulsory purchase order) has been applied for because there has been little or no communications with the landlords or their agents since they purchased the premises in October 2015.

“We have already got a relocation package lined up but we cannot agree on this until they agree to fund our relocation.”

Mr McDonald claimed the CPO value did not reflect the cost of moving to new premises.

Another trader, who does not wish to be named, said: “I am very surprised about the approach to bring the development forward.

“I hope a resolution is made before this CPO action is taken.”

Councillor Jeremy Moulton, leader of the Conservative opposition on the council, said: “The compulsory purchase order should be a last resort, there should have been plenty of dialogue up until now.

“The council should be as flexible as possible in helping to provide support and appropriate time to help the business elsewhere move elsewhere.”

But James Burchell, a partner of Tellon Capital, the owners of the Bargate Shopping Centre, has refuted the allegations that his firm has been heavy handed.

He said: “We have already successfully agreed on terms with many of the existing retailers and are in continued ongoing negotiations with the remainder.

“There are opportunities for them to relocate within the city and we have done our best in terms of financial settlement and timescale.

“Following the council’s decision, the CPO is a last resort which we would prefer not to use, but we are committed to delivering Bargate Quarter.”

Councillor Simon Letts, the leader of Southampton City Council added: “The CPO is a last resort, we want to negotiate with the retailers effected first.

“We cannot have one retailer holding up a major development.”

The new development, which will see the the demolition of the Bargate Centre, which closed in June 2013, is due to begin in the new year.

The newly pedestrianised street would be 15m wide and run parallel to East Street and Hanover Buildings.

It will incorporate a section of the old city walls and architects Corstorphine and Wright say their design will “imitate the character of the gardens which were historically located along the wall”.

Bargate councillor John Noon said: “The development will be beneficial for the city and will revitalise East Street as well as create opportunities for lots of new and existing business.

“The Bargate centre is in urgent need of redevelopment and the proposals look existing for the city and talking to traders in the past they have always wanted to get the Bargate centre redeveloped.”