A DEVELOPER building a £6m office and warehouse scheme in south Liverpool has merged with a north west rival.

Centric Property Group is to join forces with Capital Properties to form Capital & Centric. Both firms are based in Manchester.

Earlier this year, Centric began work on the 80,000 sq ft development called Estuary Banks at Estuary Commerce Park in Speke.

It has secured £2.7m of public funding towards the cost of the development which will be aimed at firms in the bio-pharmaceutical and knowledge industries.

Centric acquired the 4.6 acre site for £1m and the development is due to launch late summer next year.

The company was founded by Tim Heatley, a qualified lawyer who started his development career with Modus Properties as a director in 2000, primarily driving its retail portfolio, before setting up Centric Property Group early in 2009.

As well as Estuary Banks, Centric is also developing the Crown Business Park project in Rochdale.

Capital Properties was started by Adam Higgins, who first worked in property development with Peel Holdings 16 years ago.

Capital has several food store-led schemes under way at sites in North Wales and Lancashire.

Mr Heatley and Mr Higgins met earlier this year and, having found they were competing on a number of sites, decided to pool resources and create a new company with a broader mix of projects and skills.

Mr Heatley said: “The current market provides an opening for companies run by individuals with extensive experience but without the legacy of servicing debt within their portfolio.

“This provides a great opportunity for an agile developer such as Capital & Centric.”

Accountants at Grant Thornton and lawyers at Ward Hadaway solicitors advised on the merger.