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HIE is investing £450,000 in access roads and site servicing in a two-acre site at the town’s Glenshellach Industrial Estate.
The agency has appointed Robertson Construction Group Limited to carry out the work, which will begin this week with expected completion date in July.
There has been a recognised lack of land for commercial and industrial use in Oban. This has not been addressed by the private sector as construction costs significantly outweigh end market value.
This value gap is forecast to continue to act as a restraint on private sector−led development. As a result, demand for plots exceeds supply and this can inhibit business growth and inward investment.
Morag Goodfellow, senior development manager with HIE, said:
“Given room to grow, sectors such as haulage and distribution, wholesale and technology, all have the potential to expand and boost local employment. To help make this happen we have been developing Glenshellach over a number of years into one of the town’s main industrial sites.
“This project will provide much needed development land in the Oban area. A condition of sale will be a requirement to start development work within a year, to make sure that we see new employment opportunities in Oban as quickly as possible.”
Kevin Gallagher, project manager for Robertson, said:
“Robertson is delighted to be the successful bidder on this contract. The development will not only create four new plots just now, but gives options for future road extension and more industrial development later.”
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