Plans by major York employer Pavers for a £9 million office expansion have been axed.
The footwear retailer says its HQ at Northminster Business Park in Upper Poppleton has reached capacity.
Last year it submitted dual plans, a £9 million extension to the offices and a £10 million expansion of its distribution & logistics centre.
But in November, councillors rejected the distribution centre extension for encroaching on the green belt. Pavers said this decision put 130 new jobs at risk and withdrew the office extension plan.
They then resubmitted plans to develop both the offices and distributions centre. Today, the company issued an update.
A spokesperson said: “Due to the uncertainty on when, or if, their plans could be delivered and in the context of their urgent need for suitable office accommodation, Pavers have decided to withdraw their application related to the office expansion at the front of Catherine House.
“Instead, they are exploring alternative office accommodation in York that complement the immediate needs of the business.
“This approach allows Pavers to address its immediate and short-term future needs for increased office space, as well as providing the scope and flexibility to review its long-term office requirements once an outcome has been determined on the distribution and logistics application.
“Pavers looks forward to investing in its future in York, with the interim office space and proposed expansion plans for the existing distribution and logistics centre expected to bring an additional 130 skilled jobs to the city.”
The proposals for the distribution and logistics centre are expected to be heard by City of York Council’s planning committee in the coming months.