JUST one firm out of a possible 68 has moved into the £8.5 million 'business incubator' built for ambitious small and medium-sized enterprises (SMEs).

The Base, a 50,000 square foot office building, on Dallam Lane, opened on January 21 and was hailed as being key to helping Warrington remain as the 'powerhouse of the north'.

The project was delivered by Warrington & Co on behalf of the council.

But despite strong ambition from the authority it is yet to see the 'demand' from SMEs.

The five-storey building was funded with around £7m from the council and £1.5m from the European Regional Development Fund.

However, the council is confident that the development of the high quality business facilities will prove to be a success and played down concerns.

A spokesman said: "The Base opened for business only ten weeks ago and interest in take up has, as was expected, been very encouraging.

"One business is already in occupancy and another will be moving in on April 18. Others are agreeing terms.

"The figure cited of 68 businesses would be a maximum and is totally dependent upon the size of the SME.

"The very nature of the building is that it is an incubator for businesses. The Base therefore offers easy terms and flexible leases.

"It is set up to offer businesses a desk, if that is what they require, or floorspace of up to 1,500 sq ft.

"The Base offers a space for businesses to develop, grow and expand. Occupation is therefore tailored to be transient and flexible so the building will never be 100 per cent occupied."

Conservative leader Cllr Paul Kennedy, who has been a managing director and interim chief executive prior to joining the council, is calling for the executive board to keep the matter 'firmly in its sights'.

He said: "A slow start in itself is not cause for immediate concern but clearly there needs to be some very active marketing and attractive terms and incentives on offer to attract a starter batch of tenants.

"As part of the business case there should have been some detailed marketing strategy, with targets for occupation levels, all of which would link in to cash flow and funding costs.

"I guess Warrington & Co needs to ramp up its marketing efforts.

"There are examples of successful business incubators around the country, some around universities to commercialise their research work."

The council is currently unable to provide a figure for running costs because 'rates are still being assessed'.