A HOUSING company plans to redevelop an insurance firm's offices when it leaves for a new base.

Sunderland Marine Mutual Insurance, which is the world's leading insurer of fishing vessels, has announced plans to move from its long-established home in the city for premises at Aykley Heads, in Durham City.

The company has sold The Esplanade, in Ashbroke, which it has used for many years, to the Sunderland Housing Group.

The group was set up to take over and run Sunderland City Council's council housing stock.

The Esplanade is a terrace of Victorian houses that has been bought for £6.6m.

Stewart Allen, managing director of Emperor Management, Sunderland Housing Group's development arm, said the present occupants would not be leaving for a year.

"We may turn the houses into luxury apartments or we could return some or all to their former glory as spacious family homes.

"There is nothing to compare The Esplanade with in Sunderland.

"It is a privately-gated road with parking and beautiful gardens.

"There are also restaurants to the rear that we would like to keep, making The Esplanade an idyllic place to live."