Restaurants and flats vision for derelict land is outlined

The car park, on derelict land below the Gala Theatre, was to have featured a multiplex cinema but an operator could not be found.

Now, more than two years since the plans were formulated, there is a new blueprint for the £21m scheme.

In the near future, Amec Developments is likely to submit a planning application to Durham City Council for six restaurants, a bar, a 506-space multi-storey car park and 35 apartments on the site.

The company has already won temporary drinks licences for the restaurants and bar.

The original proposals included fitness and family entertainment centres, the cinema and eight licensed premises.

The sale of the city council-owned site helped fund the Millennium City development, which includes the new theatre.

The council's environmental services director, John Jennings, said there are still hopes that a northern offshoot of the National Portrait Gallery could feature in the development.

He said talks would be held with the gallery's trustees and new director this month.

"There's a lot of talking to be done but everybody is quite enthusiastic about it, although that's not to say it's a done deal,'' he said.

Mr Jennings also said there were still many pre-applications discussions under way on the latest proposals for Walkergate.

"We are working towards something which, we hope, will be a very successful scheme.

"For the best part of a generation, Walkergate has been derelict. There have been numerous attempts to breathe new life into it and we have a real chance to deliver a development that will be good for the city in economic terms and provide support for the cultural centre we have built above it and be an asset for residents and visitors."

The City of Durham Trust has welcomed the proposed apartments but reiterated its concern about the number of licensed premises.

The council's development control committee has decided Amec does not need to draw up an environmental impact assessment.