A Kettering Council-owned car park could be sold off, paving the way for a five-storey apartment block.
The council’s executive committee will meet next week to discuss selling the Queen Street car park to Green Print Homes Ltd for £300,000.
Agreeing the sale would allow Green Print to turn the derelict Hogs Head site into accommodation, comprising of 50 retirement apartments.
The Hogs Head site was bought in 2008 by Tykes Developments, now known as Kettering Cultural Quarter Ltd (KCQL).
It gained planning permission for a hotel with a 125-year lease, but it has indicated a wish to sell the site rather than commencing work.
It has now received an accommodation proposal from Green Print Homes - but Green Print is unwilling to lease the Queen Street car park.
Green Print has offered the council £300,000 for freehold of the car park, which has been accepted, subject to approval of the executive committee.
Whether this will be passed will be decided by the ruling group on Wednesday (January 18).
The car park currently only generates £20,000 per annum in income, with the land valued at £300,000 by Budworth Hardcastle.
It has been recommended that the offer is accepted.
A report prepared ahead of the meeting says: “Should this proposed scheme proceed, a site that has been derelict for some considerable time will be redeveloped into over-55s residential accommodation.
“This fits the council policies of a better town centre and having more housing in the town centre.
“The Hogs Head site was originally one of the “suite 16” schemes for improvements to the town centre, together with the land on the other side of Queen Street which is partially derelict.
“It is hoped that the development of the Hogs Head site will provide a spur to the site on the other side of the road being revived.
“If the council sold the car park to facilitate the proposed development it is anticipated that parking usage would shift to other car parks in the town centre and that the apparent revenue loss would be significantly offset through
relocation to other council-owned car parks – notably School Lane and London Road.”
The meeting starts at 6.30pm on Wednesday, January 18, in the council chamber.