Marshall says the airport is secure at least for now
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The owners of Cambridge airport have told the city council it can build a housing estate the size of a large village near its airfield.
But Marshall Aerospace said the deal was not a forerunner of its wholesale move out of the city.
On Wednesday, Marshall ended years of speculation by saying that the future of the airport was secure for now.
But the firm said Cambridge City Council could build homes on other land it owns in the city.
A Marshall spokesman said it had land it was not using to the north and south of Newmarket Road in Cambridge.
Marshall said it would consider handing over the entire 500-acre site to the city council - subject to finding their own suitable new home for the airport.
There are still five contenders for the new airport site: Duxford, Waterbeach, Alconbury, Wyton and Mildenhall.
Ian Nimmo-Smith, the leader of Cambridge City Council, told BBC News he was concerned that if the airport did not relocate there would be serious concerns about building the 3,500 homes so near to the airfield.
"The option of relocation, if a satisfactory option to Marshall, would have been a 'win, win' situation - their position now presents us with a more mixed picture," he said.
Mr Nimmo-Smith said there was a shortage of homes in Cambridge and they were vital for the economy of the city.
"Houses are very much needed in Cambridge. There is provision made for it in this area in the Cambridgeshire structure plan and in the Cambridge local plan," he said.