Alex Salmond targets Crown's Edinburgh land in bid to raise millions

ALEX Salmond could soon be collecting the rent for a shop in George Street, half of Fort Kinnaird retail park and part of Princes Street Gardens if the UK Government agrees to the SNP's latest plans for extending devolution.

• West Princes Street gardens is Crown estate land

The First Minister unveiled proposals for the Scottish Government to be given control of the Crown Estate in Scotland so revenues are kept north of the Border instead of flowing down to the Treasury.

The main target is the seabed out to 12 nautical miles from the Scottish coast, which is expected to see a boom in offshore energy projects.

But in addition, the Crown Estate portfolio includes a wide range of property assets from historic estates to modern acquisitions. And if Westminster agrees to the Scottish Government's demands, part of the package will include the shop occupied by upmarket outfitter Austin Reed at 39/41 George Street; a 50 per cent share of Fort Kinnaird retail park; five hectares of West Princes Street Gardens, leased to the city council; and the 1400-hectare Whitehill estate in Midlothian, which includes seven farms and an opencast mine.

The Crown Estate also used to own two properties in Princes Street - Waterstone's West End branch and next-door Game - but these were sold two years ago.

No detailed breakdown was available for the Crown Estate's revenues in Scotland, but its urban properties brought in 2.8m, according to last year's annual report.

The Scottish Government said Scotland's valuable land and property assets should be managed in Scotland for the benefit of the people. Mr Salmond said: "The time is right for the archaic legislation governing the Crown Estate to be brought into line with the realities of devolution in a modern Scotland, accountable to the Scottish Parliament and its people and delivering direct benefits to our communities.

"The Scottish Government has the lead role in exploiting our nation's considerable potential for renewable energy - including responsibility for economic development as well as both land-based and marine planning. Yet it is the Crown Estate Commissioners who grant leases for offshore projects and there is no obligation on the CEC to work in partnership with our economic development bodies.

"The CEC even have the power to sell Scottish assets, including the seabed and important historic sites - all without the need to even consult the Scottish Government. This position is simply unacceptable and completely incompatible with the principles of devolution."

The Scottish Government wants a proportion of the Crown Estate revenues to be channelled into a Future Generations Fund to benefit local communities. It promised a consultation on detailed arrangements for the management of the assets and how they could help communities.

The Crown Estate's Scottish commissioner, Gareth Baird, said: "The legal and constitutional position of the Crown Estate is a matter for government. From our perspective we will continue to look to work in partnership with the Scottish Government, councils and local businesses for the benefit of communities across Scotland."