Asda to enter property development market

Asda is branching out into property development, according to property magazine Estates Gazette

Asda is branching out into property development, according to property magazine Estates Gazette.

The move will see the supermarket company unlocking the value of the land surrounding its stores.

This follows attempts by property tycoon Robert Tchenguiz to persuade Sainsbury's to capitalise on the surplus land from its stores.

Asda, however, is currently keeping its plans under wraps.

A spokesman for Asda said: "We are considering a range of opportunities for building out our estate but cannot comment further at present."

Estates Gazette reports that Asda has started to examine the land adjoining its 330 stores and depots.

The first project is said to be a local headquarters for Barclays in Poole on Asda's land, with the idea of developing the building and then leasing it to Barclays. This development will occupy 100,000 sq ft.