Dudley Council has done a deal to secure the future of the Very Light Rail National Innovation Centre which had gone into administration.
The not-for-profit centre in Dudley, which was operated by the Black Country Innovation and Manufacturing Organisation, continued to operate after administrators RSM UK Restructuring Advisory LLP was called in on July 1.
The centre was built at a cost of £32m with cash from a range of sources including Dudley Council, Coventry City Council, the European Union and The Black Country Local Enterprise Partnership.
Work began on the centre, on Zoological Drive, in 2019 and the centre was completed in 2022.
Deviesh Raikandalia, director at RSM UK and joint administrator, said: “We are delighted to have secured a sale that ensures the continued operation of the Very Light Rail National Innovation Centre and preserves its reputation as a leading innovation centre.
“We are grateful to the occupiers of the centre and stakeholders for their support, patience and cooperation throughout the administration process, and we wish Dudley Council every success with this venture.”
Cllr Steve Clark, Dudley Council cabinet member for resources, added: “The council has previously provided financial support to BCIMO and so, when the board of directors put the organisation into administration, we made the decision to put in a bid for the business and assets to protect this investment.
“The bid was successful and as the owner of the site, we will now be receiving income from the existing tenants, while looking for an operator to take on the responsibility of operating the site.
“This was an invest to save decision, which will generate income for the council now and into the future, champion local innovation and support the creation of high value employment opportunities in our borough.”
The cost of the deal to Dudley Council has not been disclosed.
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