PLANS to bring more than 100,000 sq ft of commercial grade A employment space to the heart of Brighton will be considered by councillors this week.

The mixed-use development across New England House and next-door Longley Industrial Estate would also include 250 one and two bedroom homes, with 30 per cent to be affordable.

The scheme would link up with the already agreed £25 million improvement of digital hub New England House, home to 96 businesses and 1,000 workers.

Under the proposal development company Arcus-PCD, which was behind the new John Lewis in Horsham, would acquire a 250 year lease from the council for the industrial estate and produce a redevelopment package including housing, offices and public realm improvements.

The council already has a memorandum of understanding with Arcus and development partner LaSalle and councillors will decide to agree terms for a formal agreement at Thursday’s policy and resources committee.

The proposal involving Longley Industrial Estate, currently made up of low-rise commercial units, is considered a "very attractive solution" because Arcus will contribute towards the bill for upgrading New England House - though the council would not say how much.

Council officers believe the proposal also represents the best option for digital and creative sector (CDIT), while avoiding over-development of New England House.

But while Brighton and Hove City Council owns the freehold of Longley, Maplebright LLP has 92 years to run on the lease, and has already rejected an offer based on a considerable mark-up of the site’s estimated value as “insufficient”.

According to committee documents, Arcus warns the window to secure a viable development within the current economic cycle is “rapidly diminishing”.

As a result, a Compulsory Purchase Order (CPO) of the Longley site may considered, with Arcus to fund any costs arising from the process.

Phil Jones, managing director of digital business support network Wired Sussex, based at New England House, said: “There is a massive dearth of workspace for creative and digital businesses in the city at the moment, so the idea behind this proposal is definitely to be welcomed.

“The devil will be in the detail. We need to make sure this is an imaginative destination that works for these industries, and not a cookie cutter construction job.”

Council leader Warren Morgan, who chairs the policy and resources committee, said: “This is an exciting opportunity for the council to work in partnership with a private investor to bring forward new homes and employment.

"The scheme would also see the expansion and refurbishment of New England House which is a growing centre for creative, digital and IT businesses in the city.

"Bringing the two sites together will make a much better result for the city and expand the regeneration of London Road and the New England Quarter.”

The policy and resources committee meets on Thursday.