THERE are fears that apartments could spring up near York city centre, in an area already "awash with flats".

The transfer of the Dairy Farmers Of Britain's York Depot on Saturday will create a new site for redevelopment, triggering calls for it to be preserved for employment use.

But an outline planning application for a residential development has been lodged with City of York Council for the site, at 6-18 Hull Road.

A council spokeswoman said no details were available as the application, had contained insufficient information to be processed.

Phil Gibson, Dairy Farmers of Britain spokesman, said: "It is a leasehold site so we have given notice to the landlord - the Co-operative Group - that it will be returned to them. From that point it is up to them."

Fishergate councillor Dave Taylor said: "It would be good to see the site preserved for employment use. But with the price of land in York someone will be eyeing it up as another site for flats.

"Lawrence Street and Hull Road have been heavily developed for flats in recent years. It is not what we need. We are already awash with one or two-bedroom flats. We need family homes, not more flats. I would be disappointed if that was proposed."

Coun Roger Pierce, of the Hull Road ward, said: "The site has sadly been an eyesore for many years. I am hoping that, if the dairy can't put it right, we will see a form of development that considerably upgrades it, in the way the Olympian Court opposite has made a difference.

"I would prefer it to be redeveloped for housing, because of the shortage of housing and because it is a good location in terms of access to the city centre and proximity to shops."

Fifteen jobs will be lost in York - eight employees are transferring to Leeds while the others are taking voluntary redundancy.

Customers and the 12 independent milk buyers who purchase milk through Dairy Farmers Of Britain are not expected to be affected.

However, a doorstep milk round taking in Elvington, Huntington and Clifton is being cut because it is not viable.