A decision by Land Securities on a new scheme for York's Castle/Piccadilly area can be expected in the next seven months.

The property giant, whose original controversial plans to extend Coppergate near Clifford's Tower were vetoed by the Government after a public inquiry, still has not committed itself to City of York Council's latest development brief for the area.

But Gerald Jennings, Land Securities' regional director, said: "We hope, after very careful consideration, to be in a position to make our decision later this year."

It is the first time that Land Securities has set itself a deadline for a decision, and it comes on the day the organisation announced massive profits, with York and North Yorkshire land in its portfolio proving to be fertile ground.

Land Securities has declared an 80.4 per cent increase in pre-tax profits to £2.359 billion in its preliminary results for the year ended March 31.

The value of the company's Yorkshire property portfolio alone increased to more than £650million.

That includes York's Coppergate Centre, which saw the arrival during the year of new occupiers Topshop and Topman, The Whisky Shop and Passion For Perfume.

It is also a partner in the £150 million housing-led mixed-use development proposed by Hungate (York) Regeneration Ltd.

But Land Securities is still studying City of York Council's new planning blueprint for the area, which it partly owns - a plan which seeks to strike a balance between the demands of conservationists and its needs as developers

Mr Jennings said: "As long-term investors in York, and with our interests in the Coppergate Centre and the housing led mixed-use development within the city walls at nearby Hungate, we are keen to see the city centre thrive by having the range of shops, mix of uses and associated facilities that serve the needs of residents and visitors alike."

Meanwhile, at the Victoria shopping Centre in Harrogate - which joined Land Securities' Yorkshire portfolio following last June's acquisition of Tops Estates - there has been investment activity during the year.

TK Maxx has expanded its floorspace to take all 35,000 sq ft of the centre's top floor and upmarket coffee company Caff Latino has become a new tenant.

The Yorkshire portfolio also includes the White Rose and Plaza shopping centres in Leeds, as well as the Leeds City Exchange office block.

Updated: 12:19 Thursday, May 18, 2006