A WAREHOUSE in Thornbury, which has been empty for more than a year, has been sold in a deal thought to be worth around £4million.

Thornbury-based insurance company Europa Group confirmed this week it has bought the freehold for the commercial site in Midland Way.

The firm has said the new site will allow further expansion of the business.

Europa Group, which deals with a variety of insurance products such as home, life and liability, already occupies five other sites in Thornbury and employs around 150 people.

Barry Hulbert, managing director of Europa Group, said: "I can confirm that we have acquired the site and that we have plans."

Mr Hulbert said further details of the company's expansion plans would be revealed later in the year when they move on to the site.

The warehouse has been empty since April last year after Daikin, a leading air conditioning supplier, relocated to Almondsbury.

The 3.29-acre site, which was on the market for £4 million and was called 'Airways House', had started to become an eyesore for visitors to the town.

Vicci Higgins, from property agents GVA Grimley, which handled the sale, said: "This is fantastic news for Thornbury despite the current downturn in the economy.

"Airways House is one of the largest deals this year in the area, and highlights that there is still occupier demand within the commercial property sector. "Securing this new landmark site will provide the company with the opportunity to progress with expansion plans."

Rowena Moncrieffe, chairman of the Thornbury Chamber of Commerce, said: "I think it is very good news that they are staying in Thornbury. The company needs to expand and it is really good that they have made this decision, particularly for the workforce because a lot of them are local and it is generally good for the town and all the shops and restaurants."