UK property developer and investment group Terrace Hill has exchanged contracts to acquire a development site in Sedgefield, County Durham. The site extends to 2.9 hectares. The acquisition is subject to obtaining planning for a 4,600 m2 foodstore and the signing of a pre-let. The financial details were not disclosed.

There is currently no major foodstore in Sedgefield and the company expects that the plans will receive strong support from the local community. Terrace Hill will be initiating a public consultation process at the end of June 2011, with a view to submitting a planning application by the end of August which should allow for a decision to be made within the first quarter of 2012.

Commenting on the acquisition, Duncan McEwan, head of Retail at Terrace Hill, said: 'We continue to see healthy demand from the major supermarkets for the development of new stores in such locations and have established an excellent track record of sourcing suitable sites and securing the appropriate planning.'

He added: 'This acquisition, together with the recent announcements in relation to sites in Prestwich and Herne Bay, underlines Terrace Hill's ongoing focus on the foodstore sector, and we expect to announce further foodstore acquisitions in the coming months as we continue to build a strong position in this important sector.'