SHAREHOLDERS in one of the North-East's oldest livestock marts have accepted an offer to sell the site to a national building company.

The deal to develop the six-acre site, owned by the Tow Law Auction Mart Company, is expected to be completed shortly.

The building company is paying the mart's 74 shareholders more than £2m for the site, which borders the A68.

But an assurance has been given that sales will continue at Tow Law until at least November.

Jimmy Walton, managing director of Hexham and Northern Marts, which has leased Tow Law mart for the past four years, said: "Sales will definitely continue until at least November.

"We are currently looking at another site owned by a local landowner and we are hoping to have talks soon with planners to develop this as a modern, satellite mart."

Mr Walton said the mart company had already approached Wear Valley District Council with its proposals and were awaiting a reply.

Since the foot-and-mouth outbreak three years ago, Mr Walton said that the 192-year-old Tow Law mart had "just been ticking over".

But he said his company wanted to carry on building up the business in the area.

"We do not see it as a massive enterprise," he said.

"But we regard it as being very important for the local farming community."

Harry Vickers, a director of TH Vickers, Tow Law auctioneers, whose family has owned the mart site since 1882, said: "The shareholders have accepted an offer of around £2m from a national building company and we expect the sale will be completed fairly shortly."

Although the mart company owns nearly 90 acres of land, only 6.5 acres of this has been identified for development.

Some shareholders are expected to receive about £1,000 per share, with two of them owning more than 600 and 350 shares each.

Most shareholders are local farmers.

The Tow Law mart was founded by Mr Vickers' grandfather's uncle, Joseph Vickers, a local bank manager.

A spokesman for Wear Valley Council's planning department said last night: "We would treat any plans for housing development on the Tow Law mart site as confidential.

"So far we cannot confirm having receiving any such proposals."