Southglade Food Park, in Bestwood, opened in 2005 and has 10 units purpose-built for use by food and drink firms.
The new development consists of a further 11 units on adjacent land and is expected to create about 90 new jobs, bringing the total on the site to 190.
The city council is the landlord for the site and the park is run by The Food and Drink Forum. The forum is an east Midlands-based group, which provides a range of support for businesses involved in the food supply chain.
Further £4.25M of funding
The council will now seek a further £4.25M of funding for the development from the European Regional Development Fund (ERDF).
Fiona Anderson, md of the Food and Drink Forum, told Foodmanufacture.co.uk: “It is excellent news that Southglade phase two has the city council’s support.
“For some time we have had a waiting list of firms keen to move onto Southglade and they will welcome the news.
“We are near junction 26 of the M1, very much in the heartland of a lot of food manufacturing that goes on in this area. The fact that we have a waiting list shows there just isn’t sufficient provision of this type of space in the commercial sector.”
Local authority spending
She said that with local authority spending under such pressure, it was particularly pleasing that the council had given its support to the project.
She added: “I think it was important for the council that it was investing in a proven business model, in a key sector in this part of the country.”
Councillor Graham Chapman, deputy leader of Nottingham City Council, said: “This scheme creates at least 90 local jobs and even more in the construction of the units, helps the manufacturing industry and will bring a financial return for the council of just over £125,000 a year when our ERDF application is approved. It is an excellent deal all around.”
Currently there are 10 food grade manufacturing units on the site – two of 93m2 of manufacturing space, four of 186m2 and four of 465m2 – all with offices above.
Tenants on the site are involved in a range of food manufacturing, such as vegetable preparation, pasta production, making frostings and a pastie business.