As a much-awaited supermarket opens within the city walls, MAXINE GORDON

wonders what other shops we would put on our wish list

YORK has earned a world-wide reputation as a shopping mecca, selling everything from shoelaces to sushi within its ancient walls. Trouble was, if you simply wanted a bag of sugar or bar of soap you were pretty much stuck. But that will all change this week with the opening on Thursday of Budgens supermarket in the former Co-op building on the corner of Micklegate and George Hudson Street.

The store, below the Ramada Encore Hotel, will open each day from 8am-10pm.

For years, rumours have circulated of a supermarket heavy weighing into the city with a mini mart. But Budgens, with 230 stores mostly in the south east and East Anglia, has beaten the likes of Tesco and Sainsbury for the honour of owning the only supermarket within York's historic centre.

But that may not be for too long. The laws of competition mean you can bet your baked beans that Sainsbury and Tesco will follow in Budgens' wake. Indeed, Tesco's name has already been linked to the proposed Coppergate riverside development. A decision on the controversial shops scheme is expected this year. If it gets the green light, it will pave the way for a host of big-name retailers to move into York. Fashion brands Zara and H&M have already declared their intent and Debenhams is keen to relocate from Davygate to the new riverside site.

And it's not just supermarkets, department stores and fashion outlets vying for a piece of the retail pie in York. Restaurants, hotels, bars, furniture retailers and hair and beauty salons are just some of the myriad of businesses looking for a prime location in the city.

Andrew Hedley, of property consultants Alan Black and Co, has been matching companies with commercial sites in York for 30 years and says retailers are queuing up for a prime spot in the city.

He cites the example of an empty shop in Stonegate - the former Yves Rocher store - which he has just let without the benefit of any advertising. "I can't give you a better example of a more buoyant retail market," he says. And the in-comer? Independent fashion store Rita Valpiani, which already has an outlet in Harrogate.

York's special mix of historic buildings and a vibrant tourism trade creates its own pull for businesses, which believe there is a certain prestige in being in York, says Andrew.

"York is as popular as it has ever been. Many companies have shops in Bath, Chester, Edinburgh and feel they have to be in York," he adds.

Other indicators of a healthy market are the fact Coney Street rents are up by 20 per cent during the past two years and shops in more peripheral areas of the city centre such as Bridge Street and Walmgate are being snapped up, said Andrew.

The new supermarket is a reflection of the changing face of the city, particularly in the number of new housing developments within its walls, he added. The retail market is subject to its own fads. In the past, coffee shops and mobile phone outlets seemed to be popping up on every street corner.

Now the latest craze is for nail salons although Andrew wouldn't be surprised to see a scooter shop opening up sometime, somewhere, soon. "There are scooter shops on the High Street in the North East, and we haven't had one yet," he said.

In the meantime, Andrew is busy on the look out for the perfect premises for a whole host of businesses desperately keen to set up shop in York.

"Children's wear; bedding, home and furniture; kitchen gadgets; video games; tanning studio; hair salon; an unbelievable number of hotels; a linen company; restaurants and bars," says Andrew, giving a flavour of the type of businesses wanting to come to York.

"Last year was our busiest since the retail boom of 1988-89 and the evidence at the moment is that looks set to continue."

Retailers who want to relocate to York are one thing, but businesses which we actually need are quite another - as our supermarket conundrum neatly highlights.

James Fenwick, owner of Fenwick department store in Coppergate, believes the city now lacks some of the leading fashion names.

He said: "Shopping in York is pretty good for the size of city it is, but there are still gaps. Shops such as H&M, New Look and Zara should be represented here. These are the names you see in newspapers and magazines and have a high degree of High Street credibility. York is big enough to sustain these names and make the city a more attractive proposition so people don't have to go to Leeds or Newcastle."

Mr Fenwick also believes the growing residential population of the city centre will bring its own changes to the retail scene.

"Retailers will see this as an opportunity worth exploring," he said. "Where housing is, shops and facilities will follow. Locals will demand better eateries. There are plenty of chains at the moment, but it would be nice to see more mid-market bistros.

"As for bars, the Slug And Lettuce and Pitcher And Piano are a move in the right direction, but more can be done. The City Screen is a fantastic boost to the city, but perhaps there is also room for a multiplex cinema in town?"

In the meantime, those desperate for a heavier dose of retail therapy will have to take comfort from the prospect of late-night shopping. From April 17, more than 30 leading stores will be open until 8pm every Thursday. Which still leaves a couple of hours to pop into Budgens for groceries before heading home.

Which stores would you like to see in the city?

WE asked York shoppers for their ideas...

Student Lindsay Ward, 19, studying biology at York University:

"I come from Ilkley, which is a small town, so the shops are better in York. But York is not as good as Leeds. I think if shops like Zara and H&M came to York they would do well."

Businesswoman Maxine Hill, 36, of Bootham, York: "Russell & Bromley, Karen Millen, MAC make-up, more designer shops and a Tesco Metro. I don't shop much in York, I tend to go to Leeds. I have to do my food shopping at M&S or Jacksons, so a 24-hour supermarket in the city centre would be welcome too."

Claire and Ralph Lowes, of Tang Hall, York, are parents of 15-month-old twins Jamie and Jack. Claire: "Clothes and shoe shops for children. Since Mothercare in Coney Street closed, it's difficult to buy clothes and shoes for the boys. We have to go to Clifton Moor and as we don't have a car, we have to rely on my dad to take us."

Pensioner Barbara Mercer, of York: "I'd love a John Lewis. We have got two good department stores in Browns and Fenwick, but at the moment you have to go out of town to buy electrical items and curtains. A big John Lewis store has everything."

Updated: 09:04 Tuesday, March 11, 2003