Senior councillors are set to approve the lease to allow a new Indian restaurant chain to take over a flagship town centre venue and open in the summer.
Last month Blackburn with Darwen Council revealed that Akbar's is to occupy the former Blakey's Bar at the side of King George's Hall in Blackburn.
The premises in the town's new £50m cultural quarter was formerly home to the EastzEast restaurant, which shut in September after a possession order was placed upon it.
The firm EastzEast Restaurant BB Ltd went into liquidation owing the authority £50,000.
On Thursday next week Blackburn with Darwen Council's executive board will be recommended to approve granting a lease to Beaumont Management Services Ltd, trading as Akbar’s Restaurants Ltd.
It will ask delegates authority to finalise the terms of the lease agreement to the growth director Martin Kelly in consultation with regeneration boss Cllr Quesir Mahmood.
Conservative regeneration spokesman Cllr Paul Marrow said: "I just hope this lease is watertight unlike the one with EastzEast which left council taxpayer with a huge bill."
A report to the board meeting says: "The purpose of this report is to seek approval to agree a 15-year lease with the Akbar restaurant chain to establish a new restaurant at the first Floor, King Georges Hall, Northgate, Blackburn.
"The lease will be in the name of Beaumont Management Services Ltd. This company has been trading since 2008 and in their un-audited accounts has shareholder’s funds of £1,950,325.
"All utilities and business rates costs will be met by the tenant.
"Akbar restaurants are high-quality and highly popular.
"They are established in many UK cities, including Leeds, Bradford, Manchester, Newcastle, Birmingham and Glasgow.
"The selection of Blackburn as a new location for this national brand is a significant and positive milestone for our town centre.
"Akbar’s aim to be in occupation as soon as practically possible, given the lengthy fit out period, with an opening date expected in Summer 2023.
"The opening of any new hospitality venue comes with a level of risk, especially given the challenging national economic context.
"The risk in this instance can be mitigated considering the reputation of the proposed tenant, the long-established business and associated accounts.
"Supporting this proposal will reduce the council’s current vacant property liabilities by £29,500 per annum and bring a much needed leisure opportunity to King George’s Hall within the defined cultural quarter of Blackburn town centre."
EastzEast Blackburn has no connection with eastZeast which runs restaurants in in Manchester, Preston, Bradford and Leeds.
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