NEW plans for a £40m expansion of Huddersfield’s Kingsgate shopping centre have been revealed.

Kirklees Council has thrown its weight behind the project, which it is claimed could create up to 900 jobs.

A “memorandum of understanding” has been signed by Peter Everest, managing director of Kingsgate owner WD Huddersfield, and Kirklees Council leader Mehboob Khan, setting out a joint vision for the town’s future.

The council’s stance is in contrast to its position in 2008 when it rejected original plans to extend Kingsgate in light of its own Queensgate Revival project to revitalise New Street, the market hall and the Piazza.

WD Huddersfield won an appeal against the council’s decision, but the Kingsgate extension plans were left on hold due to the credit crunch.

Now the company believes the time is right to press ahead with the expansion and has council backing for the venture.

WD Huddersfield said the new plan to extend Kingsgate will provide a department store and up to 22 other shops – creating up to 600 permanent jobs with another 300 during construction and hundreds more among local suppliers.

The scheme, which involves extending towards Kirkgate, will increase Kingsgate’s “footprint” by 50% and add an extra 120,000sq ft of space.

It will incorporate land currently occupied by a number of shops on Cross Church Street as well as landmark buildings Oldgate House, the former Palace Theatre and The Parish pub.

A new entrance – mirroring the existing one at the junction of King Street and Cross Church Street – will be built at the corner of Kirk-gate and Cross Church Street to better link the shopping centre with the Kirkgate, Byram Arcade and Northumberland Street areas of town.

Mr Everest said consultations with the public and existing property owners affected by the plan would begin later this year.

It is hoped building work can start in 2014 with the extension opening in 2016. Local stone will be used on the scheme to match the existing exterior.

Kingsgate, which celebrates its 10th anniversary this month, is currently at full occupancy with tenants including House of Fraser, Next and H&M.

Mr Everest said Kingsgate had generated a constant high demand from retailers seeking space in this “prime gateway location”.

He said Kingsgate had maintained its leading position when other centres were left with empty units “by adopting a leasing strategy that focuses on fashion and is fresh and inviting”.

Mr Everest said: “That’s why more big name retailers want to be part of the success story in a town that is ideally located to draw more footfall from a wide and largely affluent catchment area.”

Mr Everest said the proposals were already attracting interest from top names new to the town – while existing tenants would also have the opportunity to increase their presence.

Clr Khan said: “Improving the retail offer is important to our residents and this expansion fits part of a wider plan for attracting investment to create the environment for economic growth.

“WD are long-term investors in Huddersfield and we are delighted that they want to move forward with plans for the £40m expansion of the Kingsgate Centre – a development that will considerably strengthen what the town has to offer and attract more shoppers and greater spend.

“The council is working closely with them to make this happen, not only because of its importance to Huddersfield’s positioning in the retail hierarchy and future economic wellbeing, but also because of the hundreds of jobs that will be created, both in the construction phase and when the extension is complete.”

THE Kingsgate extension is key to the future well-being of the Huddersfield economy, according to the man behind the plan.

Peter Everest, managing director of Kingsgate owner WD Huddersfield, said retailers looking to trim their high street estates were increasingly focusing their investment in the UK’s 50 largest towns and cities.

He said an independent report showed that Huddersfield had the potential to be among the top 50 towns and cities in the UK for its retail offer – and the expansion of Kingsgate would secure its place in that premier league table. “Huddersfield is a successful and thriving town, but something of a sleeping giant,” he said.

“In the face of fierce competition it cannot stand still and must advance to ensure its facilities match other towns, while shouting louder to ensure that its voice is heard.’’

Kirklees Council leader Clr Mehboob Khan welcomed the signing of a “memorandum of understanding” between the council and WD Huddersfield.

He said: “It is the right time to be thinking about where we want to position the town when we come out of recession. Kingsgate is full and it is a measure of its success that we have retailers ready to come to the town.”

Clr Khan said the town was still “leaking” millions of pounds in retail spending to other towns and cities in West Yorkshire, adding: “We have to be able to build on our position to make sure that in four or five years time we are stronger than when we entered the recession.”

Clr Khan said Labour, in opposition, had supported the original Kingsgate extension plan, but had failed to persuade the previous administration to back it.

The council was still pursuing the Queensgate Revival scheme, saying: “It is something we want to see happen, but it involves a much longer timescale.”

NEWS of the plans for Kingsgate 2 brought a somewhat negative reaction on the Examiner’s website.

Lindsey Murphy said: How about they fill some of the closed shops on the high street already?

Matt Washington agreed and said: Kingsgate 2 - Not needed.

Adam DeGiorgio said: Very bad news. There is clearly little demand for shop units in the town centre, as so many of them are empty. Adding to the supply will not magically generate demand. 600 jobs is bound to be wildly inaccurate too.

Tim Hoggarth said: It will probably kill off the smaller independent retailers.

There was a similar view from Phill Cannan who said: It won't help the smaller retailers. Although more shops perhaps more shoppers in the area?

Owen Lucas said: Let's bring Huddersfield into the 21st century!!

Sam Perks commented: As has been said, far too many empty shops in Huddersfield anyway.

But there were some who thought it a good idea.

Philip Robinson said: Good for town. It will compete with the White Rose and Meadowhall.

Tracey Lee said: Should be a new pram shop; there's none of them in town.

Helen Barrowclough said: I love it. I think it should go ahead.

And Rachel Murray added: I'm happy that this will mean more job opportunities in Huddersfield. I like the idea of making town bigger and gaining shoppers from other areas.

But there are so many empty shops in town already. I'd love a Selfridge's or Harvey Nichols though.