NEW local authority offices and storage space for archives are to be created in a £167,000 project.

The scheme has been drawn up after the cost of repairing temporary buildings at an existing depot was assessed as not being cost-effective.

Now, Hambleton District Council is considering plans to demolish the existing depot offices and build new ones at Darlington Road, Northallerton.

The council's planning director, Steve Quartermain, said that the temporary, second-hand buildings had been used since 1990, but they had problems with heating and insulation and needed repairing. He said the authority considered options of moving to a new site, refurbishing the existing buildings or demolishing and starting again.

Moving to a new site would have the advantage of bringing in an estimated £500,000 from the sale of the existing depot, but would still leave the cost at about £406,000.

Remaining on the Darlington Road site and starting from scratch means the authority could incorporate energy-saving measures in the building.

Refurbishing the existing building would be the cheapest option, but the savings through a new building would cover the difference in six years.

Mr Quartermain said: "Of the options investigated, the demolition and new build is the most cost-effective and also provides the council with a facility which meets sustainability criteria."

He added: "It will also act as a demonstration project to other developers of what can be done to reduce energy and tackle water consumption whilst maintaining a healthy and high standard of office accommodation."

The cost of the scheme will be met from the authority's existing project for buildings.