Urbis was funded by the Millennium Commission, European Regional Development Fund, DTLR and Manchester City Council, to the tune of £42m. The master plan for Manchester, developed after the centre was destroyed by an IRA bomb in 1996, suggested using the site for a cultural attraction. The concept of a museum about contemporary urban culture was suggested by Dr Justin O'Connor, director of the Manchester Institute of Popular Culture, who then led the research, development and design project .
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