TWO commercial bidders shortlisted to develop Richmond's old railway station are no longer in the running, clearing the way for a charitable trust to take on the building.

One of the original bidders withdrew on Tuesday, two days before councillors held a special meeting to discuss the future of the 19th century listed building.

The other shortlisted company failed to return a financial questionnaire before last night's meeting of Richmondshire District Council resources committee and officers recommended that the bid received no further consideration.

Margaret Barry, the council's corporate unit manager, confirmed that Land Team, which wanted to develop a gym, health club and restaurant at the old station, had withdrawn.

She said the other bidder, Encore, which envisaged a cinema and arts space at the premises, had failed to respond to two prompts to return a financial questionnaire.

"In order to evaluate the bids against this criteria it is essential to have detailed financial and business information about the organisations submitting the bids," said Mrs Barry. "Given that Encore has failed to provide the business and financial information requested on behalf of the committee, it is difficult to see how the committee can satisfy itself that the bid meets the deliverability criteria. In these circumstances, officers will recommend that the bid submitted by Encore is not given further consideration."

Land Team had confirmed it was willing to help the Friends of Richmond Station, who are to form a charitable trust in a bid to develop and run the building.

A dossier prepared by the organisation was presented to the resources committee last night. It detailed two options for acquiring the listed building - a long lease after which ownership would be transferred and freehold purchase, possibly aided by the council, which currently owns the building.

Potential uses, gleaned from responses to a public questionnaire circulated in the area, include a cinema, caf bar, exhibition hall, craft and art space, meeting rooms, bowling and a creche.

The Youth Hostels Association has also expressed strong interest in having space at the development.

Cash to convert and develop the building would come from a mixture of public funding, private donations and loans. Charitable trust status would allow the Friends to apply for a number of grants towards the project.

The trust hoped the council would allow it time to commission a feasibility study, likely to take at least six months, to identify best use of the 19th century premises, vacant for more than a year.

Mrs Barry's report to last night's meeting suggested that, if the proposals found favour with members, a progress report could be submitted to the April meeting.

The station building would not be actively marketed during the preparation of the feasibility study but any expressions of interest submitted would be reported to the committee.

The Friends also want further discussions with the public to ensure that the development is what local people want, and to assess the impact of the leisure development on existing facilities such as the swimming pool and Elite cinema at Leyburn