York's C&A store is to become a furnishings department store - with all existing staff likely to be re-employed.

A 'Goodbye Sale' is being held by C&A following the shock announcement earlier this year that the veteran clothing chain is to close down nationwide.

The York store is set to shut down in the New Year. Allders will spend about four months refitting the Coppergate site before a grand re-opening.

Chris Williams, spokesman for C&A, says he is hopeful that the 35 employees at the York store will at least be interviewed by Allders.

"It's a good team up in York and it would be pretty bloody-minded for the new tenant not to give them a good chance. The alternative is the long task of finding new staff individually,." he said.

Helen Rayner, head of corporate communications for Allders, said: "We will be interviewing all the staff because we are looking for good people."

She said the existing Allders at Home store at Clifton Moor would not be affected by the new opening, and that there were no plans to close it.

Alastair Gordon, managing director of Redevco UK - the property firm behind the takeover - confirmed the takeover, saying: "There has been an exchange of contracts between my company and Allders to take the space of the C&A in York. It's very good news for the city."

The York store is one of three C&As up and down the country being turned into Allders at Homes, while a normal department store will go in the Leicester C&A.

As well as Coppergate, two London sites - at Guildford and Kingston - will be transformed in to Allders At Home, which is normally based in out-of-town retail parks and specialises in quality household goods.

A spokesman for Allders said: "The Allders at Home stores will open next March, unveiling a new store design. All are in prime shopping areas, ranked in the top 25 major retail centre destinations."

phil.chapman@ycp.co.uk