Derwent Holdings is to submit revised plans for the Edge Lane Retail Park in Liverpool, blaming "current market demand".
The cabinet of Liverpool City Council will be asked to consider the changes on Friday 30 August, with a new application set to be submitted to planners in September.
Liverpool mayor Cllr Joe Anderson and Derwent Holdings chairman Albert Gubay have been in regular dialogue to make sure the scheme remains viable.
Work is already nearing completion on the initial phase of the retail park, creating 21,000 sq ft of warehouse units on the plot bounded by Edge Lane and Binns Road – including a food superstore.
Revisions to the £200m project given consent in 2011 include:
- A major leisure and restaurant development on 147,000 sq ft of land originally earmarked for an extension of Rathbone Hospital
- A smaller park and 11 new houses rather than the 26 originally proposed
- The provision of replacement business units for companies currently based on the Binns Road Trading Estate
- Upgrading the former Crossfield Garages rather than replacing it with premises for relocated companies from the main site
- The approved scheme provided consent for 46 retail units, four restaurants and a large multi-floor leisure development, with undercroft parking and delivery zones. This is now not "implementable commercially".
- The scheme now proposed includes an "anchor food superstore", 30 new retail units, restaurants and ground level parking.
- The redevelopment site now excludes the Montrose Business Park site and the Booker site.
- The leisure uses which had been proposed will now be spread across the wider development and delivered in smaller form on the former Ian Skelly site.
The Edge Lane Retail Park has been subject to a Places Matter review.
The cabinet is recommended to approve the revised scheme when it meets on Friday. It will still be subject to planning approval.
Cllr Anderson said: "This is a hugely ambitious project, made all the more challenging by the tough economic times.
"Work is already underway on phase one but we want to make sure the entire scheme is delivered which is why we have worked in partnership with Derwent to make it work for them and us.
"We are determined to make it happen, because we know how important it is to rejuvenate this major city gateway, delivering excellent retail and leisure facilities and creating many new jobs."
The architect for the scheme is AEW Architects.