Mansfield District Council has agreed to surrender its lease on Walkden Street Car Park, following a decision approved by councillors on 30 June 2026. The move marks a major step forward in resolving the aftermath of the site's partial collapse and addressing public safety concerns.

The multi-storey car park suffered a partial collapse in August 2025, leading to serious safety concerns and the structure being declared unsafe. Since then, the council has worked with landowners and partners to make the building safe and find a long-term solution.

Financial Commitment and Legal Settlement

Councillors approved additional borrowing of £7.5 million to support the lease surrender and associated costs. The council stated this sum is significantly less than the financial commitments it would face if a claim by Tesco were successful — estimated to be in the tens of millions of pounds.

Exiting the lease, which had 48 years remaining, would avoid at least £16 million in future lease payments alone, as well as significant additional rebuilding and maintenance costs that could have run into tens of millions more.

Next Steps

Negotiations are ongoing and the deal has not yet been finalised. The council decision will bring it closer to being able to settle Tesco's claim and surrender its lease, removing all ongoing responsibilities and enabling safe demolition of the building.

James Biddlestone, Chief Executive of Mansfield District Council, said: "Following the collapse of Walkden Street Car Park, our priority has always been the safety of our residents, businesses and visitors. This decision is a significant step towards us being able to take control of the situation, remove a dangerous structure and move forward with confidence."

Elected Mayor of Mansfield, Andy Abrahams, added: "At last night's Full Council, we had unanimous, cross-party support for the approval of us taking the next steps to exiting a lease, which had 48 years remaining on it. This is good news and a significant step towards us being able to move forward."

Some elements of the council's decision remain confidential due to legal and contractual considerations.