MORE than £4m is to be spent on creating 25 new industrial units.
The former AE Hadley shopfitters site, in Limberline Spur, Hilsea, is to be divided into affordable units to rent by small and new businesses.
Portsmouth City Council will fund the development through a £4.25m loan which Councillor Luke Stubbs, responsible for planning, regeneration and economic development, is confident will be paid back through the rental income.
The council hopes to boost local business by building the industrial and enterprise units in Hilsea Industrial Estate.
Cllr Stubbs said: ‘This gives us a great chance to boost local businesses and jobs by getting rid of an old facility that has come to the end of its usable life, and replacing it with something for which there is a huge demand in this area.’
AE Hadley was founded in 1921 and closed in July last year.
The council intends to start work this summer and it should be completed by the end of 2016.
Councillor Frank Jonas, who represents Hilsea ward, has welcomed the development.
He said: ‘This is a very good idea. It will encourage enterprise and new business.
‘Smaller businesses are a major contributor to our local economy.
‘If we can help them by providing affordable premises then we should do. Affordable is the key.’
For more information about the proposed work contact the council’s corporate assets team on (023) 9283 4263.