The paper merchant bought HV Beever's former headquarters from fellow merchant Elliott Baxter for an undisclosed sum earlier this year.

Moorgate Paper managing director Neville Simpson said the firm would move into the new location on 3 July. It will know the result of London's bid on 7 July.

"The authorities have already offered us an alternative purpose-built site close to Stratford if the bid comes off," said Simpson.

Either way he expects the firm to remain at the location for at least two to three years. Simpson said the warehouse will enable the company to provide a better service its clients, and will also bring the Moorgate operations in London under one roof.

"We are still one of the only merchants north of the river in London," he said. The projected turnover for Moorgate this year is set to be around 25m, with additional staff to be added to the business.
Two inside sales staff will start in July, and Simpson said he was keen to employ at least two more outside sales representatives.

He said the firm would continue to eye potential acquisitions, though he said he did not know of any options currently available. But Simpson offered a word of caution for competitors that might be trying to undercut its business in the London area.

"At the end of the day its about making money and proper profits, and businesses need to realise this," he said.

Story by Andy Scott