A MAJOR £75million plan to redevelop Glasgow’s former BHS site has “stalled” due to funding shortages, it has been claimed.

The developers are UK firm Formal Investments, headed up by Nicholas King and formerly Malcolm King, who took on a 120-year lease in 2015.

In 2016 the firm unveiled ambitious redevelop plans for ‘boutique’ offices for around 1,750 workers in the 12-storey building on Bath Street and Sauchiehall Street, which was used for almost half a century by BHS before the firm’s collapse.

However, three years after taking control of the building there has been no progress, delaying an overall plan by the council to revitalise one of Glasgow’s most famous streets.

The building is lying empty, covered in graffiti and was being used by rough sleepers until quite recently before the entrance was sealed off.

According to well placed sources, the re-development plan has stalled due to a ‘lack of funding.’

Read more: Watt Brothers slashes prices ahead of December closure

When contacted by the Evening Times, a spokeswoman for Nick King of Formal Investments said there was “no update.”

There is now a ‘To Let’ sign on the building under the name of Minota Lettings which states ‘short term licences’ are available. No one was available when the Evening Times called the mobile number advertised.

Glasgow Times:

Glasgow architects Stallan-Brand were appointed as designers for the project and expressed frustration at the lack of progress on the development.

A spokesman for the firm said: “We are passionate about this part of the city centre and desperate to see this site re-developed.”

The building is owned by Primerica a United States-based marketing company that sells insurance and financial services.

When the plans were unveiled in 2016 the 80,000 sq ft of offices above BHS was said to be aimed at ‘creative businesses.’

Director Nicholas King said at the time: “This proposal shows a really exciting vision for an important site in Glasgow city centre and will provide the highest quality environments for retailers and businesses large and small.”

Read more: Major plan underway to re-develop Glasgow's historic McClellan Galleries

Sauchiehall Street was adversely affected by fires at Glasgow School of Art and the blaze at Holland & Barrett and Victoria’s nightclub which led to areas being cordoned off, affecting trade.

However the street is now showing signs of a resurgence, thanks to investment by the council and new firms moving in.

Glasgow’s famous street has already been transformed by the first phase of the multi-million pound Avenue project, creating cycling lanes, wider pavements and seating on the lower half of the area. The next phase on the stretch from Rose Street to West Nile Street will get under way in the summer of next year.

Glasgow Times:

A major, multi-million pound plan is also underway to redevelop the historic Mclellan Galleries.

London based firm Bywater properties has been granted planning permission for a major development at the historic Breckinridge house, home of the McClellan Galleries and at least nine retail units.

The plan includes offices for the creative industries, independent coffee shops, cafes and restaurants.

At one point, there were 75 vacant units on the street but this figure has now dramatically reduced.

Glasgow City Council has said that going forward the street will have less of a retail focus with a more balanced mix of offices, pubs and restaurants.