Work has begun on the first phase of a multi-million pound redevelopment of a Grade II listed mill in Bradford.

Midland Mills, an early 19th Century site, which is owned by British Mohair Spinners, is being developed to provide high quality office accommodation.

The developers hope the project will fill the city's shortage of high-specification office space.

Richard Baker, commercial manager at Dacre, Son & Hartley, said: "The redevelopment is being undertaken on a speculative basis and we have already had serious enquires about the office accommodation which will become available when Midland Mills is completed and there is a strong indication that tenants will be in place before the development is finished."

He added: "The site also offers substantial parking, something many 'in town' developments fail to provide and is in walking distance of Bradford city centre and Forster Square railway station."

The office accommodation will become available to let through marketing agents Dacre, Son & Hartley in early 2003. The building, which was originally a textile mill, has most recently been used as a warehouse.

Phase one of the development extends to 41,500 square feet over four floors.

Other mill developments in the Bradford district include plans to transform a historic Saltaire Mill, valued at £6 million, into luxury homes.

Heron Land Developments has planning permission to convert the 1870s Victoria Works in Salts Mill Road into flats and has placed it on the property market.

Asquith Properties has put in a £1 million offer to buy fire damaged Broadgate House in Manor Row to transform it into 80 homes. A row of Victorian-style ground floor shops and restaurants is also planned for the site.