The 2.5-acre site at the junction of Regent Street and Skinner Lane in Mabgate was once occupied by a Reg Vardy Renault car dealership.
It has fallen into a state of disrepair in recent years and is regarded as an eyesore on one of the main routes to the city’s new Victoria Gate retail scheme.
Now Yorkshire-based construction company Harris CM has started work on a £3.6 million contract for Gregory Property Group.
They will build an 18,500 sq ft building for Pure Gym as well as A 16,500 sq ft Aldi store and a 7,500 sq ft Poundworld store.
Gregory Property Group chairman Barry Gregory said after planning permission was granted earlier this year: “The arrival of three quality tenants is excellent and welcome news for the local community which has always supported the venture.
“The site has been vacant since September 2008 and become a major eyesore. Recently it has been of concern to [Leeds City Council] on account of anti-social behaviour.
“It has been a testing and arduous process securing consent for what we believe to be the best use for the site, endorsed by the public.”
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