A historic shopping arcade under threat of being knocked down to make way for new flats and shops has been recognised for its local heritage value.

The Grand Arcade in North Finchley, which was built in the 1930s in the Art Deco style, has been added to Barnet’s local heritage list following a long-running campaign backed by more than 2,500 residents.

But neighbouring Rex House, another surviving relic of the town centre’s 1930s architecture, did not make the list, sparking renewed calls for it to be preserved. Along with the arcade, Rex House could be demolished to make way for flats up to twelve storeys high under a proposed council-led redevelopment.

High-profile backers of the campaign to save The Grand Arcade include rock legend Dave Davies. Brought up in Muswell Hill with brother and co-founder of The Kinks Ray Davies, Dave bought guitar strings from a music store in the arcade as a teenager.

Responding to the local listing, Dave said: “I have a fondness for the arcade and the old Gaumont Cinema that used to be there years ago. I’m pleased to be of help. I think it’s important that the Rex building and arcade should be saved. It’s not just nostalgia. It’s a part of our local heritage.”

Although the local listing does not prevent the arcade from being knocked down, it does mean its value to the community must be considered during the planning process.

Finchley resident Ian Dunn, who has spearheaded the campaign to save the arcade, said it was “absolutely brilliant” that it had been listed. “It is a start,” he added. “I think we can build more support.”

But Ian said the failure to include Rex House, which he described as a “landmark building” was “very disappointing”. He claimed Rex House had been “ruined” over the last 30 years and could be “restored to its former glory” but alleged the council will not list it because it “supports developers”. He called on the council’s Labour administration, which was elected in May, to do more to protect the buildings.

Ian also claims there is a conflict of interest in the creation of the local planning strategy – a supplementary planning document (SPD) for the town centre – which was published in 2018. The council’s planning department was partly outsourced to Capita under the Regional Enterprise contract in 2013. Capita-owned real estate firm GL Hearn was involved in preparing the SPD. According to a council report, the developer, Joseph and Partners, agreed to pay up to £140,012 to help fund the SPD’s creation.

Jonathan Joseph, principal of Joseph Partners, said: “As part of the initial plans for the town centre and surrounding area, a planning performance agreement (PPA) between the council and Joseph Partners was entered into for the provision of a dedicated planning resource to produce a town centre framework SPD for North Finchley.

“PPAs are project management tools which local planning authorities and applicants can use to agree timescales, actions and resources for handling large or complex applications and are commonly used across many local authorities. This means that any future applications within the town centre will be considered within an agreed, robust planning framework.”

Jonathan added that the company was aware of the local listing and was “considering ideas that we hope will lead to an enhancement of that entire block including attractive new pedestrian routes”.

According to a report presented to the council’s policy and resources committee on Tuesday (13th), nominations for the heritage list were considered by a selection panel consisting of councillors, heritage officers, a Historic England inspector and a representative from a local amenity society. The panel was chaired by the council’s heritage and design champion.

Speaking during the committee meeting, deputy council leader Ross Houston asked why Rex House had not been recommended for inclusion.

Jonathan Hardy, the council’s heritage team leader, said out of 56 nominations, 36 had gone forward: He added: “Quite simply, not everyone makes it. There is a degree of judgement on each of them, and Rex House that you mentioned, 1930s building, [is] quite altered – not a single original shop front has been retained. That’s the judgement.

“The Grand Arcade is a bit different because it retains more of its architectural interest, including shop fronts. On that basis, some of the nominations made the list and others not.”

Speaking after the meeting, Cllr Houston said: “We are keen to see North Finchley regenerated for the benefit of the local community and businesses if it is in accordance with the SPD which sets out detailed guidance for the regeneration. We have been very clear with the developer about this.

“We successfully pressed for a partnership board to be put in place so the local community could be consulted on the regeneration, and this is now established and carrying out its work.

“The land agreement was a decision made by the previous Barnet Conservative administration, and although we opposed it at the time, we are not aware of any legal basis to get out of the agreement. Any proposals will be subject to the planning process.

“On the listing of Rex House, the council’s panel considered it and made their decision having taken account of expert advice. That advice was that Rex House did not meet the criteria for listing.”

Capita has been approached for comment.