Rich Mix is no longer at risk of closing down after resolving its long-running financial dispute with Tower Hamlets Council.
The arts organisation has agreed to repay a £850,000 loan and, in turn, the council has handed over just under £1.6 million owed to Rich Mix under the terms of a planning agreement for a nearby development.
A statement agreed by Rich Mix and Tower Hamlet dated 25 September reads:
“Tower Hamlets Council and Rich Mix Cultural Foundation are pleased to announce that they have resolved the disputes between them and have brought an end to the legal proceedings currently in the High Court. The resolution of these disputes secures Rich Mix’s future and will benefit all of its stakeholders, users and the residents of Tower Hamlets.
“As part of the resolution, Rich Mix has received Section 106 monies agreed by the council’s Strategic Development Committee in August 2010 and has, in turn, agreed to repay the £850,000 loan given by the council to Rich Mix in 2003 and make a payment in respect of certain external costs.”
In an open letter, Rich Mix Chief Executive Jane Earl thanked the public for their “unfailing support”.
Since the East End Review first revealed news of the dispute in January, a petition to save Rich Mix on change.org has received 17,424 signatories, with messages of support beamed onto their building in May.