Gateshead Quayside arena hotel to be moved to new location in bid to cut costs

The developers have revised plans to instead build a nine-storey hotel on vacant land at the corner of Hawks Road and Quarryfield Road. Credit: Gateshead Council

A hotel development on the Gateshead Quayside - that neighbouring residents feared would leave them living in darkness - is set to be relocated in a bid to cut costs.

Residents of Baltic Quays apartments were worried about an 11-storey hotel that was planned as part of visions for a new Quayside arena and conference centre.

In March, it was claimed that the dual-branded Novotel and Ibis would leave the neighbouring flats feeling "like a Victorian prison."

In an announcement on Monday 31 October the developers behind the £300m riverside complex revealed proposals to relocate the hotel to a new site - behind the proposed arena – and build a park where it was originally meant to be.

Peter Bauckman, who has lived at the Baltic Quays since 2003 and is a director of the building’s management company, said the redesign was “really, really good news”.

Of the proposal to build a public park on land the hotel had been earmarked for, he added: “That is what it always should have been used for.”

Developers Ask Real Estate and PATRIZIA UK said the changes were being made due to “operational and constructional reasons”, rather than in reaction to local residents’ complaints.

They have now announced the launch of a public consultation on the revised plans to build a nine-storey hotel, with 344 bedrooms, on vacant land at the corner of Hawks Road and Quarryfield Road.

The developers say they intend to submit a new planning application for the relocated hotel by the end of the year.

This comes amid uncertainty over the future of the arena development- to be known as The Sage - with Gateshead Council having asked the government for £20m of Levelling Up funding to help cover mounting building costs.

Artists impression of The Sage, a new conference centre and arena being built on the Gateshead quayside. Credit: Gateshead Council

It will feature a 12,500-capacity arena that will replace the Utilita Arena, a conference centre, plus new bars, restaurants, public space and walkways along the Quayside.

However, It has been suggested that, if the council is unable to secure new funding for the arena and conference centre, the huge plans would have to be redesigned and scaled back.

A Gateshead Council spokesperson said: “The design team have been conducting a full review of the project costs to realise cost efficiencies.

"The design review has led to the proposed relocation of the two hotels currently on the site, to currently vacant land within Baltic Quarter.

"This new design is more cost efficient but also improves the original by introducing  a new park adjacent to the conference and exhibition centre, for the benefit of both residents and visitors to enjoy."