Post office move.

PLANS to house a new National Gallery of Scottish Art in Glasgow's

George Square post office building have been thrown into confusion,

following claims that the property is likely to be sold to a private

developer.

The news emerged last night after a meeting between Post Office

leaders and the heads of Glasgow District Council, Glasgow Development

Agency (GDA), and the trustees of the National Galleries of Scotland.

Council chief executive Tom Monaghan, GDA chairman Michael Lunn, and

trustees chairman Angus Grossart said their understanding of the meeting

was the property would be sold to private developers for a speculative

commercial scheme. They could not provide any details of the developers

or the selling price.

However, the Royal Mail emphatically denied any decision had been made

and said a final decison may not be taken until the end of the week.

Mr Grossart said last night: ''It looks as though a decision has

probably been taken in London. It appears that a speculative commercial

offer is conditional on obtaining planning permission.

''But I would think it inconceivable that Glasgow (District Council)

would permit a commercial development on the post office building in

preference to the proposals we are putting forward, which would achieve

so much for Glasgow and Scotland.''

He said it was not certain if a final decison had been made but added

that was the understanding of the gallery supporters at the meeting.

He said it appeared the decision-making process was at an ''advanced

stage'', but added the door was open for Post Office leaders to change

their minds.

He said there were no contingency plans and the trustees were

committed to keeping the gallery in Glasgow.

Glasgow City Council leader Pat Lally said: ''I am very much angered

by this decision to sell to a private interest when there was clear

public support for the property to be used as the location for the

extension to the National Gallery.''

Mr Lunn said: ''We understand from information we have received that

the Post Office Board in London will consider offers for the George

Square building today.

''The GDA has sent a fax to the Chief Executive of the Post Office, Mr

Bill Cockburn, at his London offices requesting that, if our information

is correct, his board reconsider our offer and this public listed

building be made available to the trustees of the National Gallery for

this exciting and unique project for the art world.''

A Royal Mail spokeswoman said it was certain no decision had been made

and added that further talks were being sought with the GDA, the

council, and the trustees.

She added the decision would normally be taken at Scottish divisional

level and the evaluation process had not even been completed at that

level.

She said: ''My understanding is that we have received a number of bids

and we are still considering them.''

She confirmed that there had been a meeting yesterday, attended by

representatives from the Royal Mail, Royal Mail Property Holdings, and

the chairman of the Scottish Post Office board.