Leale's Yard build may start by 2013

Work to redevelop Leale's Yard in Guernsey could start within the next two years, according to the developers.

The Channel Islands Co-operative Society was given in-principle planning permission for shops and housing at the site near the bridge earlier this year.

The company has now started marketing the potential retail space in the UK.

Chief executive Colin Macleod said he was cautiously optimistic that after years of planning the project would really start to move forward.

He said: "Once we've reached a critical mass of retailers who sign up to be part of the development then we'll be able to get the confidence and the finance to proceed.

"We are working through the conditions that came appended to the permission in principle and moving forward steadily."

The company first suggested developing the site into a retail complex in 2004.