When the city council's head of markets compares the current retail market to George A. Romero's Dawn of the Dead, it's probably time to move – and Sheffield City Council is doing just that.

The city's ambitious new £18 million retail market, which will occupy a full block on the corner of the city's The Moor and Earl Street, boasts an eco-friendly design that has fruit and vegetables at its core.

'We did substantial research and the results showed people want more locally sourced fresh produce, so we've strategically placed our fruit and veg stalls close to all three entrances at the new market,' says Andy Ward, head of markets at Sheffield City Council.

The 79,000 sq ft market building will house 200 indoor stalls, and Ward says that 60 per cent of those will be dedicated to food in a bid to increase the number of visitors and their subsequent spend.

Whispers of a new retail market have been in the air since the early 90s, and with the city's current retail market, the 700-year-old Castle Market, non-profitable and in rapid architectural decline, the move is long overdue. 'We've been promised a new market for 15 years now so it is scary that this is finally happening,' said Ian Bingham, whose family-run fruit and veg business has been trading at Castle Market for over 50 years. The Castle Market site is expected to be sold by the council for up to £1.5 million.

But despite excitement from the majority of traders, there is also a shared sense of hesitancy, with rent prices set to double.

Veteran fruit and vegetable trader Mick Cull is excited about the new market but claims his rent – currently around £1,350 a month – would be 'in excess' of £3,000 a month for the same floor space in the new building. 'Rent and rates are the biggest fear as if we are paying double what we are currently paying, we will also have to double our business in a completely different area,' says Pardeep Sumal, a trader at Castle Market's Continental Foods.

But rent concerns are not worrying Ward, who says a flexible two-year discount will ensure traders have plenty of time to adjust. 'Traders will pay zero rent and only a service charge for the first six months as rent gradually increases over the two years. The rent is very reasonable and in line with other council-managed markets; there will be a massive increase in footfall at the new location so traders will be experiencing higher returns,' pledges Ward.

With the new council offices and a 650-space multi-storey car park just across the road and close links to bus routes, the new market will be closely connected to the local community and Ward says that parking won't be an issue with market customers getting reduced parking rates through a stamping system.

Designed by retail specialists at Leslie Jones Architects, the Moor-based market will have a spectacular glass canopied entrance, low-energy cooling systems and efficient recycling in a bid to lower carbon footprint. Its unique cooling system, which uses the evaporating effect of water to cool the air, is the first of its kind to be installed in a UK-based retail market and Ward admits that it represents a 'bit of a risk'. He jokes: 'I'm told the cooling system can support up to 2,000 people – lets hope 2,001 shoppers don't turn up.'

Live interaction with shoppers will also be a prominent feature of the new design with a large on-site, interactive kitchen, and with Sheffield home to a vibrant mixture of cultures, Ward says that a 'celebration' of exotic fruit and vegetables will be considered as part of the new market's future promotions.

Pardeep Sumal's Continental Foods prides itself on selling internationally sourced fruit and veg within a largely traditional British market, and he is excited by the opportunity to stand out at the new location.

'We have nine different types of rare greens on sale at the moment, so we fill a niche here, and I hope the fact we sell something different to the other traders will benefit us at a fresh location,' says Sumal.

Alongside the new market, a further £2.6m investment to boost the surrounding area will implement improved paving, seating and a green facelift with plants and flowers set to feature.

However, with online grocery shopping continuing to climb, and 25 per cent of Britain's local authority-managed markets currently in decline, according to NABMA's policy officer Krys Zasada, the multi-million pound project represents an obvious risk, but Sheffield Council leader Julie Dore says that support for traders will help ease the transition.

'Our market has one of the highest concentrations of small businesses in the city and the new hall underlines our commitment to helping them succeed,' she says.

Despite a host of new features, it won't be a full-scale case of 'out with the old and in with the new', with Ward estimating that around 75 per cent of Castle Market's current traders will move onto to the new location.

Over the last few months traders have been subject to meticulous inspections, with mystery shopping tests and customer service training initiated to ensure quality remains, and Ward insists that the new site can make history.

'Castle market has been around since the 1300s, and with a 250-year lease already committed to the new location, and an innovative eco-friendly build plus close links to Sheffield's wholesale market, I see no reason why we won't replicate that sort of legacy,' concludes Ward.