BOSSES at a Kidderminster carpet firm say they have made a "long-term commitment" to the town by selling and leasing back its site.
Victoria Carpets has entered into the sale and leaseback agreement with Monopro Ltd for its Worcester Road manufacturing facility.
It was sold for £5.8 million and the lease is for a 20-year term, at an initial rent of £495,000 a year. The company says it has made £700,000 profit from the sale as the building was valued at £4.9 million.
Non-executive director Alexander Anton told The Shuttle: "We have committed to spend another 20 years in the town in a factory we use as a major hub. From an employee point of view, this is great news.
"The key to all this is me and [executive chairman Geoff Wilding] believe we can get a better return by reinvesting the cash into the carpet industry and not keeping it locked up in the property.
"This is about long-term commitment in the town, freeing up capital and reducing our debt. It is good news for jobs and good news for the firm."