Ipswich is set to get a Poundstretcher store after the retailer has been confirmed to join the Rosehill Retail Centre expansion.

The East of England Co-op, which owns the retail park, last month announced a major £4million revamp of the site which would create three new units.

The existing Aldi store will move into a bigger unit next to the Co-op store, with Poundstretcher the first of the three additions to be confirmed.

Nick Denny, joint chief executive for the East of England Co-op, said: “We have a great relationship with Poundstretcher, with them already trading successfully alongside our stores in Combs Ford, Stowmarket and Stanway Retail Park in Essex. We’re also in advanced talks with potential tenants for the two remaining units.”

Demolition work for empty properties along Felixstowe Road is already underway, with Barnes Construction confirmed as the contractor for the development.

Nick Fayers, managing director of Barnes Construction, said: “We are delighted to have been appointed by East of England Co-op to carry out the construction work to expand the retail offering in this area of Ipswich.

“I have no doubt that when completed the development will be of huge benefit to local residents and the community in east Ipswich.”

In the last year Barnes has already worked on high profile projects such as the Two Rivers Medical Centre in Woodbridge Road and the Sailmakers shopping centre in Tavern Street.

Construction work is set to begin later this year with the aim of having all five stores open by Easter 2018.

Mr Denny added: “This is an exciting development for the East of England Co-op.

“Following a culmination of five years of preparation and obtaining planning consent we’re now looking forward to seeing the Rosehill Retail Centre progress over the coming months.”