Bradford's magnificent Design Exchange is expected to go on the market as Bradford Council prepares to off-load major buildings housing scores of small businesses.

It would go under the hammer with Carlisle Mills, Merchants House in Little Germany, the Business and Innovation centre in Angel Way, Broomfield House in Bowling Road, and Mantra House in South Street, Keighley.

All the properties have managed work units occupied by fledgling businesses, whose tenancies would be protected if they were sold. The buildings are expected to raise millions of pounds which the Council would use on regeneration schemes.

Deputy council leader Councillor Richard Wightman said the centres cost the Council huge sums to run, and businesses would be protected where properties were sold.

He added: "We mustn't be dogs in the manger hanging on to what we own forever and a day."

The buildings cost the Council at least £800,000 a year to run but the managed work units they house have helped scores of embryo businesses to get off the ground.

The closure proposal - to be considered by the economic scrutiny committee next week - has come from the Council's internal Best Value team, which says they could be run on a better financial footing by the private sector.

Conditions would be written into contracts protecting existing tenancies, and discussions with community and educational groups which have already said they are interested will take place before they go on the market.

The Council says it is unlikely to have to repay the massive grants given to the schemes by Europe and the British Government if the proceeds from the sales are ploughed back into regeneration schemes.

Today David Scougall, West Yorkshire director of the British Urban Regeneration Association, said the sale of the buildings would be a massive boost to the district's economy.

But he added: "They must be careful not to go just for the highest price. This must help embryo businesses and hi-tech start-ups.''

Labour member for the economy Councillor Dave Green said the proposal had already been considered by them last March, but the details had not been worked up.

He said the Council had subsidised the services for years and he hoped any move to sell them would be balanced against the need for the businesses to continue.

Bradford South MP Gerry Sutcliffe said he would not want to see the buildings sold to property speculators. "I hope it does not give the message to the Government that Bradford is selling things off and is not interested in partnerships," he said.

A spokesman for the Depart-ment of Environment and Transport in the Regions said: "There is always a possibility of claw-back if a council sells a building which was regenerated with a large amount of public funds." He said it was likely there would be a requirement for the same use of the buildings.