Fury as homes alongside road that impressed Diagon Alley set to be bought

Flats above the historic street which inspired Harry Potter‘s Diagon Alley are set to be flogged by the council – in what critics have branded a ‘fire sale’ of the city’s ‘crown jewels’.

York City Council has been slammed for selling off five apartments on the iconic Shambles, which were previously one bedroom flats.

The 14th century street, which was once home to the city’s butchers, is widely considered as one of the most beautiful in the country and is among the best preserved medieval shopping streets in Europe.

The council claims it is being forced to sell the flats – which have stood empty for around two years – because they are unviable to improve or rent out in their current state.

But, Liberal Democrat opposition leader Cllr Nigel Ayre has blasted the decision, saying it would reduce affordable housing in costly parts of York.

He told councilors that it would see existing affordable housing sold to the highest bidder.

And he added that the case for selling the properties – that it presented the best value for money – had not been made thoroughly enough and went against Labour’s affordable housing commitments.

Cllr Ayre said: ‘This is nothing short of a fire sale of council assets, including some of the city’s crown jewels.

‘Given the location of the Shambles flats we all know what they will be used for, this is a conscious decision to flip affordable homes into luxury flats.

‘We’re not a private developer, we’re a local authority, there is social value in having somewhere in the city centre where people can afford to live.’

Shopkeepers on the Shambles, which was thronged with tourists and sightseers this week, have mixed views about the council’s decision.

Matt Kaplan, 53, is the owner of The Cheesecake Guy, which has been trading on the Shambles of four years.

Native New Yorker Matt, who is now happily settled in old York, said: ‘The council own quite a bit of property on the Shambles, but I’m surprised that they are selling some off.

‘But, they are not going to develop the Shambles, I doubt a developer could touch the buildings on this street.

‘You can’t do much with the street that has been here hundreds of years.

‘If the flats are standing empty, then why not sell them on, as long as developers don’t come in, then I’m fine with that. As long as they are not turned into B&Bs.

‘I might be interested in buying one myself, then I could live and work on the same street.’

Hannah Wallace, 37, is general manager of The Shop That Must Not Be Named, a store selling all things Harry Potter.

Hannah said: ‘We are an independent shop which has been open seven years now, and we are very busy.

‘I think the council is struggling to fill empty shops and so if they are struggling to rent out flats, then they should get rid.

‘I think it is important to have all the shops open and all the flats taken to get people in.

‘Get somebody in who will actually use them and enjoy living here.’

Hannah said that the Shambles inspired Diagon Alley, in the Harry Potter films, after location crew and designers visited the historic street, with its timber frames and upper floors overhanging the cobbled street below.

Tourist Janet Rutter, 55, visiting from Newcastle, said: ‘Other than sell off the flats I can’t think what else the council can do.

‘Maybe a buyer will have better ideas or see more possibilities for the flats.

‘They must be quite expensive for a council to run, if they are standing empty, and not cost-effective.’

Jason Marsay, 52, has run gift shop No 1 Barchest at the top end of the Shambles for 12 years.

Jason said the council owns most of the properties on the Shambles, which has one of the highest per square metre ground rents in the country.

Above his shop is council owned offices.

Jason said: ‘I wasn’t aware the council was putting flats up for sale. It is very unusual for them to be selling off property on the Shambles.

‘The flats could be a desirable place for somebody, but maybe not for everybody.

‘Rents are going up and up on this street.’

City of York Council housing lead Cllr Michael Pavlovic said the Shambles flats had deteriorated and no affordable housing provider would take them, making their sale the most financially viable option.

The council’s executive agreed to sell the properties on the open market in July as part of a number of decisions regarding sites earmarked for housing in York.

A council report stated it came amid a lack of private rental accommodation locally and York experiencing some of the highest house price increases in the country in recent years.

The council’s corporate services, climate change and scrutiny management committee heard that the Shambles flats did not meet accessibility and other requirements.

Councillors also heard their historic nature made it unviable to improve them, expensive to live in and they were exposed to noise and smells from the street.

Cllr Pavlovic said: ‘No one wants to take these properties on and it would cost a fortune to redevelop them.

‘The money that we receive from selling them will deliver far more affordable housing elsewhere.

‘The council has a responsibility to get the best value for money given its financial position.’

In a scything response, the Labour group at City of York Council said the Lib Dems had ‘left the properties to decay’.

Executive Member for Finance and Performance, Cllr Katie Lomas said: ‘The current Liberal Democrat Leader was briefed on the lack of any interest from housing associations in the Shambles properties while in charge of the council’s finances back in 2022. 

‘Lib Dems took no action and left the properties to decay, bringing in no income, before losing control of the council in 2023.

‘The properties are particularly awkward with minimal access and are not suitable for permanent housing. Disposing of them will allow the council to receive a capital sum that also helps with the £40m savings requirement we inherited, due in part to the old Liberal Democrat administration’s short-term approach to addressing the council’s structural budget difficulties.

‘By contrast, we will always seek best value for the taxpayer and will continue to develop 100% affordable housing on council-owned development land.’