WORK has officially started on a £7m North-East industrial site.

Robertson Construction is now erecting steelwork at Portobello Trade Park, based off the A1(M), near Chester-le-Street.

Sitting on more than six acres of land, bosses say it will provide space for 15 light industrial units for small and medium-sized firms, creating about 200 jobs and supporting 250 construction posts.

It is expected to open in June next year.

Earlier this year, developer Ravensworth Property Developments, near Durham City, received a £982,000 loan from the North East Local Enterprise Partnership (NELep) and £2.75m from the European Regional Development Fund to complete a £7m funding package.

Geoff Clark, development manager at Durham-based Ravensworth said: “It’s great to see the new park coming out of the ground.

“The steel frame is an encouraging sign of the return of speculative industrial development to the North-East.”

Ravensworth have appointed Naylors Chartered Surveyors and HTA Real Estate as joint letting agents on the scheme.

Keith Stewart, Naylors’ head of industrial agency, added: “We have received a high level of interest and a significant increase in enquiries since the steelwork has become visible.

“Interest is primarily coming from trade counter occupiers and distribution businesses, and hope to achieve the first pre-let in early 2015.”