FLEDGLING and growing ventures in York could have a new purpose-built business centre in Clifton Moor in the next two years.

An £800,000 scheme is being recommended to City of York Council on Monday, which could see both the closure of the Fishergate Centre and demolition of Parkside Commercial Centre in the city centre which caters for new and growing enterprises. Both would be redeveloped.

If approved, the ventures there will be invited to transfer to the new futuristic replacement centre which will be built on a plot in Amy Johnson Way, which City of York Council bought for £196,000 using a venture fund loan two years ago.

The centre will have room for 60 businesses - triple the size of the Fishergate Centre - which will be offered at low, subsidised rents. None of the occupants will be allowed to stay for more than four years. The plan is that York, Selby and Malton Business Advice Centres (BAC) Ltd, the non-profit making organisation, will transfer its management of the Fishergate Centre to Clifton Moor where it will be based.

Norman Whyte, chief executive of the regional BAC, said: "The proposed building, with its solar panels, rainwater recycling systems and under floor heating, will make a statement about how York wants to encourage entrepreneurship.

"It will be a place where young businesses will be able to network and at the same time get on-the-spot expert support - the magic formula to ensure that businesses are given the best chance of surviving beyond the first critical three years."

The preferred plan being recommended to the city council has been designed by Pocklington-based developers, The Helmsley Group.

It consists of about 8,000 sq ft of office/studio space to let, plus 7,000 sq ft of workshop space and about 3,000 sq ft for the city council's Young Business Project to help and steer York's young entrepreneurs.

There will be ground source heating, solar panels providing hot water, wind turbines generating energy for communal areas, water saving devices, lighting saving controls linked to daylight levels and rainwater recycling to water the landscaped areas.

Lettings will be on a licensed basis, for "easy in, easy out" terms and preference will be given to start-up businesses or those trading from home and which have not had business premises before.

If approved by the city council's executive advisory panel, the scheme will be submitted to planners.

Simon Daubenay, City of York Council economic development officer, said: "Given clearance, we could start building next year, ready for occupation by 2008."

Updated: 10:42 Tuesday, March 14, 2006