The proposal being presented to the council is 'To consider a revised offer from the previously selected developer'. Before we make it ever so complicated, it would surely make sense to take the words literally, and assume (until there is evidence to the contrary) that Kirkland have simply reduced their offer. This is something that happens all the time, and it would not be at all surprising if it happened here, for reasons which I have given in the previous post. On the other hand, it could be something even more straightforward, as Mark suggests.
Howard asks 'Why on earth would the tactic be "in tatters".' Any failure by the council to get a supermarket on the Chadwick Street site could mean that if a new planning application were to be submitted for a supermarket on Hibbert Lane, it might no longer fail the so-called 'sequential test', which was crucial in ensuring that the Asda planning application was rejected.