Two major infrastructure and development projects in Oban are making significant progress, with the potential to add between £50 million and £179 million to the local economy.

Both the Dunbeg Corridor and Oban Airport Business Park projects are being funded through the Lorn Arc Tax Incremental Finance (TIF) agreement. This innovative funding model, developed by the Scottish Futures Trust (SFT), allows Argyll and Bute Council to retain a proportion of Non-Domestic Rates to finance investment in local infrastructure. Argyll and Bute is one of only four local authorities in Scotland with a TIF project. To reduce risk and ensure delivery, the council and the Scottish Government agreed in February to extend the TIF scheme by ten years.

-- Advertisement --

The Dunbeg Corridor project is advancing with LINK RSL having submitted four planning applications for Phase 4. This phase, which follows the delivery of 375 affordable homes and significant infrastructure upgrades in earlier stages, will include approximately 430 new residential units. The homes will comprise a mix of tenure types, including social rent, mid-market rent, student housing, shared equity, private sale, and plots. Crucially, the plan includes significant infrastructure improvements such as a new trunk road roundabout on the A85, a new residential link road, and a commercial area potentially featuring an hotel, drive-through restaurants, and a small supermarket.

Meanwhile, substantial progress is also being made at Oban Airport Business Park. Initial site works are complete, and planning consent has been granted for the first two buildings. The design team and main contractor have now been appointed, with the majority of the work expected to be completed in 2026.

Council Leader, Councillor Jim Lynch, said the projects were progressing well and "have the potential to deliver significant benefits for the area, creating new jobs, enhancing key infrastructure, boosting local businesses and supporting the wider Oban economy."