The Executive Committee authorised the Executive Director of the Council’s Development and Regeneration Services to enter into negotiation with Network Rail with a view to taking on the leases at Shipbank Lane for a combination of uses, including sub-leasing to appropriate arts and business organisations.

The development of this site is seen as key to the continuing regeneration of the Merchant City, where long-term investment has delivered a significant improvement in the public environment, increased property investment and steady growth in the local investment base.

Despite the positive changes, crime and anti-social behaviour has increasingly become a significant problem in Shipbank Lane, and is seen to have a very detrimental impact on the area and the efforts to improve the Merchant City. The multi-agency costs of tackling these problems totalled £277,000 in 2006/7.

There are plans to develop sites in the immediate vicinity of Shipbank Lane, such as two St Enoch developments and the creation of a cultural quarter stretching from Trongate to the Briggait, and the crime and anti-social behaviour at Shipbank Lane must be tackled to complete the development of the area.

The negotiations between Network Rail and Glasgow City Council should result in the Council securing the lease at a level lower than that currently charged, in recognition of a social responsibility on behalf of the network to help resolve them.

The proposals for the Shipbank Lane site would aim to eliminate the problems of criminality on the site through a range of opportunities, including sub-letting space to artist’s organisations, meet operational and storage requirements for the Council and Glasgow Community Safety Services and the development of a high-quality weekday or weekend market.

Councillor George Ryan, Executive Member for Development and Regeneration at Glasgow City Council, said: "The takeover of the lease by the Council would lift the whole area, fitting in with the regeneration of the Clyde and the Merchant City and eradicating the anti-social element. Shipbank Lane could become a tourist destination, a very high quality arts and crafts market and a cultural venue, with aspiring artists selling their work."