ANOTHER York firm has developed its business by branching out into China.

Forsyth Business Centres, based at Clifton Moor, has bought the ninth floor of the CITIC Tower in Shenzhen, China, for £1.4 million. The deal, which was carried out in conjunction with Scarborough Developments (China) Limited (SDCL), sees the company gain 1,650 sq m of office space.

The firm, which provides office accommodation and business facilities to companies throughout Britain, has already let 750 sq m of its new Shenzhen office space to Citibank for £80,000-a-year on an eight-year contract.

But Forsyth is not the first York firm to make its mark in the People's Republic. DSP Architects, based in St George's Place, York, has been invited to design an entire new Chinese city called Tuan Bo, south of Tuanjin.

The 13-strong firm, headed up by David Spencer, has already had its plans for a retail park near Shanghai approved by the Chinese authorities.

Meanwhile SDCL, a subsidiary of the North Yorkshire-based Scarborough Property Company, announced a £200 million contract in China in January. It has been granted planning permission for Landmark Commercial Centre, a major retail, commercial, hotel and residential development in Changzhou.

The project in China is Forsyth's first venture overseas, and it already looks set to be a success. As well as the pre-let to Citibank, the firm has had a healthy interest in the rest of the office space.

Scott McCabe, chief executive of Forsyth Business Centres, said: "We see the Far East as a great growth market for us and particularly China. It is the fastest-growing economy in the world."

The project in China is being led by Chinese staff who have been educated and worked in Britain, as well as local Shenzhen staff.

"We have people who understand both our business culture and Chinese business culture," he said.

Forsyth has been working hand-in-hand with SDCL, which is headed by Scott's father, Kevin McCabe, throughout the expansion into China.

As well as its head office in Oakdale Road, Clifton Moor, the firm has business centres in London, Edinburgh, Glasgow, Leeds, Belfast, Livingston, Sheffield, Stockton-on-Tees and Tunbridge Wells.

Updated: 10:08 Thursday, March 25, 2004