THE companies behind plans for a retail park say it could create 200 jobs and safeguard others.

Sunniside Properties and Mono Containers want to build on 101,500sq ft of land in Dragon Lane, Dragonville, Durham City.

It would include stores selling electrical goods and DIY products and there would be fast-food outlets, a crche and parking for 400 cars.

The land is owned by food-packaging manufacturer Mono Containers, which plans to use its share of the proceeds to create a food-packaging operation and warehouses.

The company says the plan would protect the jobs of about 200 employees.

"This presents an ideal opportunity to redevelop an under-used part of our site and raise capital for investment in the business, which will improve efficiency and productivity, safeguarding jobs at Durham," said the firm's operations director, Paul Reddington.

Sunniside Properties director Philip Gibbs said: "Another benefit of this proposal is that the site is right next to the district centre and provides a great opportunity to consolidate and enhance the facilities along Sherburn Road and Dragon Lane.

"This would make the centre more compact, accessible and sustainable from a transport and access point of view, which is entirely in line with the Government's PPG6 guidelines on retail planning."

Two other shopping developments are planned for sites nearby.

One, by Alexage, is for Dragon Lane, and another north of Renny's Lane has been proposed by Dragonville Developments.

These two schemes have been called in by the Office of the Deputy Prime Minister, and a four-day public inquiry will be held in July.

Sunniside Properties and Mono Containers are asking that their application also be considered at the hearing.

Mr Gibbs said: "It is clear there is a demand for such a development on this side of Durham. We can meet that demand in a sensitive way, enhance an existing district centre and provide investment in a local business, protecting jobs.

"We believe our partnership offers creative solutions to complex planning issues and hope the council and the Secretary of State agree.

"We are optimistic and enthusiastic about our proposal, which we will explain to the local community through a proper communications and consultation exercise."