Design group Kilkenny is planning to expand and is considering a move away from its landmark Nassau Street shop in Dublin, owned by Larry Goodman.

"We'll be looking for a very competitive deal, be it with our existing landlord here or more than likely with somebody else in some other location," said finance director Mark Sexton.

Kilkenny's existing lease at Nassau Street expires at the end of August next year and the company has appointed Florence Stanley of property advisers CBRE to find a suitable 15,000 square-foot premises in Dublin 2.

The retailer has already held talks with Shelbourne Developments about a department store it is planning to construct at Dawson Street and has also scouted and deemed unsuitable the former Hibernian United Services Club at St Stephen's Green, which businessman Hugh O'Regan had intended to turn into a private members club.

Sexton said the group, which has seven outlets at present, is also considering opening new shops in the suburbs of Dublin.

"Any expansion we did over the last five years was out of our own cash flow so in a way we're in a position now to look at some expansion opportunities," he said, "We are looking at one or two other opportunities as well, again if the right deals are there."

The group is to invest about €200,000 in the former Stephen Pearse pottery gallery at Shanagarry in east Cork, which it is acquiring. It plans to include design workshops in part of the 12,000 square-foot premises.