A HISTORIC former mill went on sale this week and plans are in the pipeline to redevelop the site into appartments.

Under the proposals Fishwick Mill, in Mercer Street, Preston, built in 1823, will be demolished to make way for 59 apartments and ten town houses.

Knight Frank, a leading residential and commercial property agent, handling the sale for the Rhodi Group, a clothing company, say there is no guide price, but the sale is expected to fetch millions of pounds.

Knight Frank chiefs say the area surrounding London Road and New Hall Lane is fast becoming a magnet for property developers and the company expects fierce competition for the land.

"This part of the city is experiencing a dramatic revival. Property developers are recognising space in Preston is at such a premium, it makes sense to look at expanding the boundaries of the city centre," said Julie Moorhouse, of Knight Frank, Manchester.

"Some of the most familiar and historic buildings in and around New Hall Lane are already being redeveloped. The Centenary Mill, built in 1891 and operated by Horrockes, will be a flagship apartment scheme.

"And across the Ring Road is the massive Tithebarn site, where Grosvenor Estates has plans for a multi-million pound retail development," she added.

The plans for the site also include designating some land as public open space that will be landscaped by the developer.

An outline planning application has been minded for approval by Preston City Council's planning department, but has to go before councillors before it can go ahead.

She added: "I'm sure potential home buyers as well as as developers will be keeping an eye on this deal. The prospect of good quality apartments and houses on the site, but possibly without the city centre price tag, will be very appealing."