The company runs a wholesale bakery in Birmingham, which has a limited retail function, selling sandwiches and bread. The new venture in Harborne will allow the company to have a store focused entirely on retail.
Dave Finn, wholesale manager at Peel & Stone, said: “There will be bread and cakes, and we will be baking all of both on site.”
The bakery aims to employ five or six members of staff, but an exact date has not been set for the opening as yet.
Finn explained: “We’re going into an old building, so small problems crop up here and there.”
He added that Peel & Stone did not currently have any further expansion plans in the pipeline, aiming for quality over quantity.
He said: “We’re a young company and I think we’ve learned that we do one thing and we do it well. We’re in it for the long term.”
Peel & Stone specialises in producing slowly leavened bread without additives. It also produces a range of rustic sweet treats, including chocolate brownies and seasonal fruit pies.