Beck Group is the first of two companies to sign contracts with the Enterprise Zone, the flagship delivery project of the Marches Local Enterprise Partnership.
Leominster Construction will be developing the new facility for Beck Group, a leading UK supplier of products to the construction and horticultural industries, on a site known as Skylon East.
Development will also start later this year on a new regional centre for Western Power Distribution on three acres next to Chapel Road. The building, which features low carbon design and energy efficient materials, will offer engineering facilities, office space and storage for the company as well as significant apprenticeship opportunities for young people in the area.
Chairman of the Marches LEP, Graham Wynn OBE, who recently toured the Zone site, said: “The Enterprise Zone is the catalyst for enhanced economic growth throughout the Marches, and will include supply chain opportunities for companies across the Shropshire and Telford & Wrekin region.
“The LEP will retain the business rate uplift generated by new companies locating their operations in the Enterprise Zone for 25 years. This will provide a significant income for the LEP Board to spend on projects across the whole of the Marches region as the Zone fills up – potentially jumping to £2 million a year by 2022.
“I am delighted to see the start of work on site at Skylon Park and look forward to a visit in the near future to see how the developments are progressing.”
Chairman of the Enterprise Zone Board, Bill Jackson, said: “Skylon Park is a world class business landscape and the arrival of these companies launch what will be a period of sustained investment and development here.
“We have already ploughed more than £20 million into infrastructure projects to ensure the Zone is ready for investors who wish to come here, and we’re delighted to welcome these first two companies on site. We’re particularly pleased to see that the first construction contract has been awarded to a local company, Leominster Construction.
“Our aim is for 1,500 jobs to be generated by the Zone by 2015 – both of these companies will be creating employment for local people and Western Power has also committed to increasing the number of apprentices it takes on each year.
“Our investment team is speaking with a number of other prestigious business names and following up promising leads which we hope will lead to further investments in the coming weeks and months.”
Businesses moving on to the Enterprise Zone benefit from business rate relief worth up to £275,000 per business over a five year period, as well as simplified planning processes and superfast broadband.