The company behind Scotland's biggest business park has gone in to administration.

It comes as the market for office space declines.

New Edinburgh Limited (NEL), which was behind the creation of Edinburgh Park on the west side of the city, is understood to have owed £18m to Lloyds Banking Group.

Administrators at Deloitte have now been called in.

NEL was formed in 1990 and is owned jointly by City of Edinburgh Council and Miller Developments.

Its assets include 30 acres of undeveloped land near Edinburgh Park railway station, and one office block, currently partially-occupied by Business Stream.

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Edinburgh Park now comprises more than 20 large office blocks, housing 7,000 workers and several large corporations.

Council leader Andrew Burns said: "NEL was set up to generate development and employment and it has been highly successful in doing both. Since its creation in 1990 it has created 7,000 jobs and been responsible for the construction of 1.3m square feet of office space. It has also generated millions of pounds in dividends for the stakeholders which has been put to good use funding City of Edinburgh Council services for local residents. Unfortunately, the economic climate has changed due to global factors and the demand for office developments has declined. As such, even though overall NEL has been a successful and worthwhile venture it no longer offers sufficient benefit to justify the use of additional council funds."

No job losses are expected.

(NE)