Rumours are circulating that Marks & Spencer is considering moving into a large portion of the former House of Fraser store in the centre of Richmond.

The retail giant, which already has a store on the other side of the road in George Street, is understood to have held preliminary talks with the owner of the building.

It is known that M&S has been scoping out former House of Fraser and Debenhams outlets around the country as part of an effort to streamline its store estate, which will involve closing a number of sites.

If the move goes ahead, that would raise questions about the future of the outlet in George Street and, potentially, the building that M&S owns at Kew Retail Park.

A large proportion of the Kew site, currently used by Boots, Sports Direct and TK Maxx, was sold to Berkeley Homes for £41m earlier this year to be developed for housing.

The M&S store is hugely popular with residents in the Kew area and beyond, not least because of the free parking. However it risks being left in middle of a building site for years and without the footfall generated by the neighbouring stores that will now be closed.

Selling the Kew site to a housing developer would deliver a cash windfall to M&S, which might look to offering an alternative 'Simply Food' outlet in the area.

The House of Fraser department store in the centre of Richmond shut down in September last year as the group, owned by Sports Direct chief Mike Ashley, embarked on a cost cutting drive.

It was bought by investors Canadian and Arcadia who submitted plans to convert it into a multi-million-pound retail and leisure destination.

The top four floors of the building are being developed to provide up to 42,000sq ft of office space, with 22,000sq ft of retail and leisure space on the ground and lower ground.

Initial reports suggested the retail elements could be available for occupation this autumn, however this appears to have been pushed back, while tenants are expected to move into the offices in spring next year.

The planning application for the site stressed the intention to keep retail use on the ground floor, stating: "George Street remains prime retail space and a key anchor to the retail environment in Richmond upon Thames so it is important to retain the retail use for the lower levels that can present an active frontage to the street."

M&S refused to comment, however the chain has said in the past that it is 'always looking at opportunities to be in the right places for our customers'.

Project liaison manager at Canadian and Arcadia, Greg Miles, recently wrote a blog giving an update on the scheme on the website of BeRichmond, which promotes the town's businesses.

He said the company is 'advanced stages of negotiations with a number of potential occupiers'.

Significantly, he added: "Two large national retailers are interested in taking the majority of the retail space, while several leisure businesses are interested in taking the remaining retail/leisure space."

A new 4th floor is being added to the top of the building for offices, which will feature a series of roof terraces.