BLACKBURN Shopping Centre could be sold for the second time in 14 months - prompting speculation about the future revamp of Lord Square.

Reit Asset Management, the London-based investment firm which bought the centre for £100million from Standard Life last July, is considering selling on for a profit after being approached by a shopping centre development firm.

It is believed the prospective buyer is a firm which specialises in community shopping centres. It is understood to have unsuccessfully bid for the shopping centre when Standard Life was selling it. A spokesman for the company refused to comment today.

But councillors and town centre traders reacted with surprise to the news amid fears any sale could delay the redevelopment of Lord Square. Blackburn with Darwen Council is confident any new developer will pick up the proposed rejuvenation of Lord Square with minimum delays.

Reit Asset Management confirmed a bid had been received for the 130-store centre, but would not be drawn on what the terms of any deal would be.

But it sold Accrington's Arndale Centre several years ago after modest improvements led to its price rising from £22million to £28million in 18 months.

Kevin McGrath, a director at Reit, said: "We have had an approach which we are considering."

Since taking over the centre from Standard Life - which had repeatedly insisted there was no value in regenerating Lord Square - Reit successfully gained planning permission to spend £15million on Lord Square.

The plans include a new department store and smaller units. Existing traders in the square have begun moving out before work starts later this year.

Ray Goldstone, of Blackburn Chamber of Trade, said: "If they decide to sell, it has to be included in the deal that Lord Square's redevelopment takes place. It is key to the town centre redevelopment. There can't be any delays."

Conservative leader Colin Rigby said: "If the Lord Square work doesn't go ahead, then the millions spent on the semi-pedestrianisation of Church Street will have been a waste."

The council retains a 15 per cent stake in the shopping centre.

Coun Andy Kay, executive member for regeneration, said: "Reit confirmed they are in discussions with a major shopping centre owner to purchase their interest in Blackburn Shopping Centre and their two other centres.

"This represents further investor confidence in Blackburn. It is not envisaged this potential sale will significantly affect the proposed development around Lord Square."

In the months before Reit took over, Lord Square had been described as one of the biggest threats to the successful regeneration of Blackburn town centre, prompting a Lancashire Evening Telegraph campaign for action.