Work on a multimillion-pound transformation of the heart of Inverness has been pushed back until next year.
The revamp of the city’s Falcon Square and Eastgate Centre – which was to include five new restaurants and create 100 jobs – had been expected to get under way this summer.
The owners of the shopping centre said that the start of work had been delayed for “various reasons beyond our control”.
But they insisted that the firm remained “totally committed” to the project and would bring forward the scheme next year.
The move represents the latest blow to a proposed revamp of the centre in recent years, after a previous package of improvements was revised and a transformation of the Filling Station restaurant was initially kicked out by councillors.
Scoop Asset Management, which bought the Eastgate shopping complex in 2015 in a £116million deal, revealed in May that American chain Smashburger and pizza and pasta specialists Wildwood were confirmed as the first tenants in the extended shopping centre, which will face on to Falcon Square.
Local builder William Gray Construction had won the contract for the work, paving the way for 45 construction jobs, while Smashburger alone said it intended to employ between 40 and 50 people in Inverness, and more expected at Wildwood.
New plants, lighting and seating will also be installed in the square, as well as a revamp of the side entrance to Inverness Rail way Station, while a later phase of the project will feature a new bar and restaurant being built on the roof of the Eastgate Centre.
Business leaders view the overhaul as a vital part of efforts to increase footfall and improve the experience of visitors to the centre of the Highland capital.
Last night, Inverness Chamber of Commerce chief executive Stewart Nicol said: “I’m not aware of any of this about the delay. It’s unfortunate.
“There is obviously a reason for the delay in the plans being brought forward. I’m sure there are good operational, strategic reasons for that decision.
“Having presented the plans and proposals and scoped out what their aspirations were for Falcon Square and the Eastgate Centre, it’s important that is followed through because it is a key area of civic space in the heart of the city. I’m sure there are operational reasons. I hope that is the case rather than anything more untoward around the plans being delayed further, deferred or dropped.”
Mark Hewett, director at Scoop Asset Management, said: “Due to various reasons beyond our control the start date for the Eastgate development has been delayed until 2018.
“With Christmas getting ever closer we have been approached by an existing tenant for more space.
“We are pleased to announce that Tartan House have agreed terms for the temporary occupation of the existing space and are looking to commence trading in the next few weeks.
“This temporary let follows three permanent lettings to Noa Noa, Smiggle and The Entertainer. All three are now open and reporting good trade. Following a strong tourist season national retailer interest in Inverness is strong.
“We are still totally committed to Eastgate Centre and look forward to taking our development plans forward in the coming year.”
Richard Lochhead, MSP for Moray, said: “There are many reasons why tourists visit Moray and there is no doubt that stopping off while visiting Inverness and the Highlands is one reason. It is therefore important that they are attractive and any setback to investment is regrettable.”