IKEA, the world's largest furniture retailer, is coming to Southampton, the Daily Echo can exclusively reveal.

Secret negotiations between Ikea and the city council are under way to secure a site in Millbrook for a new furnishing superstore that will create up to 500 new jobs.

News comes just 24 hours before the new £275 million shopping centre WestQuay opens its doors and work is under way to spend £15 million of regeneration cash bringing new life to the outer Shirley area.

Ikea wants to build its new store on the former Calor Gas site just off the Millbrook Road and the deal could net the city council £4.5 million once planning permission is agreed.

Labour leader June Bridle confirmed talks had taken place with Ikea.

"We have had approaches from Ikea and they are very keen to come to the city.

"They like Southampton and recognise we are moving forward. We are doing what we can to talk to them to find out what their needs are," she said.

Millbrook ward councillor George Melrose was enthusiastic.

"I always welcome new jobs coming into the city, especially as we may be in danger of losing BAT. The Calor Gas site needs redeveloping," he said.

The proposals are at an early stage and it could still be several years before the store is built.

Land around the Calor Gas site is needed to make the scheme viable but Ikea, whose existing ten UK stores - including the one pictured above in the Midlands - welcome 20 million visitors a year, wants the council to agree to sell the freehold of the site before it proceeds further.

At a meeting behind closed doors at the civic centre today city councillors will be asked to agree to sell the freehold and officers are recommending they agree the deal. A letter from Ikea's agents said: "We believe this location provides an excellent opportunity for developing an IKEA store in Southampton and we strongly believe that this would provide an excellent opportunity to serve the South Coast.''

The city council owns the freehold of the site but Calor Gas has a lease that will run until 2052.

A figure of £8.5 million has been agreed with Ikea for the sale of the site - and the proceeds will be split 50/50 between Calor Gas and the city council.

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