Tesco has denied it is interested in creating a new convenience store on the site of the Shand pub in Dundee, just yards from a major Spar outlet.
A planning application was submitted last month to demolish the Dickson Avenue pub, which has been closed for some months, and create two new retail units with parking.
Rumours have been sweeping the area that Tesco is involved in the plans and is set to step in if and when planning permission is granted.
However, a spokesman for Tesco has moved to quash the rumours, saying the company is not involved in the planning application.
Staff at the Spar store in Glamis Road would not be drawn on the rumours but CJ Lang’s business development controller Philippe Rondepierre confirmed they were aware of the speculation.
He said, “Like everyone else we have heard unconfirmed rumours of a major chain of convenience stores moving in to the Jimmy Shand location.”
Mr Rondepierre declined to comment further. However, one Spar customer said the shop staff had hinted their bosses were worried by the suggestion and are determined to fight the proposals.
The Yarrow Terrace resident, who asked not to be named, said, “Everybody’s talking about it, and the word is that Spar are going to fight this. It’s a shame the Shand is going because it was a good pub, but it seems a bit like overkill to have two supermarkets beside each other.
“The Spar has been there for years and it’s a good shop, but if Tesco gets in that would obviously take a lot of custom away from them. Most people in our area would use it because it’s closer to them than the Spar.”
A spokeswoman for Punch Taverns, which owns the premises said, “We are currently exploring options around the future of the Shand and have been approached by a third party interested in developing the site. An application has been submitted and we await the outcome.”
Property company Locate Developers is behind the plans to transform the site and the proposals have been well received by some locals, who said they were glad to see the back of the watering hole.
No-one from Locate Developers was available for comment.