The president of designer fashion firm Gap has hailed his company’s new project in Rugby, which will create 700 jobs.

Speaking from the firm’s world headquarters in San Francisco, Ken Pilot said the first phase of the new distribution and administrative centre is likely to be completed next year.

The 1.4m square foot distribution and administration centre on the Coton Development Area at the junction with the M6 and Leicester Road was given the go-ahead by Rugby Borough Council last week.

Work is expected to start soon and the first warehouse and administration centre will take on 500 new staff.

The second phase, which will be another warehouse, is expected to be completed within three years.

Mr Pilot said:

“We’re pleased to be creating jobs in Rugby as we expand our distribution capabilities to better serve our customers and support Gap’s growth in the United Kingdom.

“We really appreciate the support we’ve received from this community and its leaders to work with us to make this project a reality.”

Rugby Borough Council chief executive Diane Colley added:

“This announcement represents a major inward investment success for the whole area and is excellent news.

“The creation of these jobs will help not only Rugby’s economy but the economies of both the East and West Midlands.”