Darlington businessman Duncan Bannatyne has put plans for a new £6m head office and health club on hold in a row over plans for a Soccerdome complex.
The chairman and founder of Bannatyne Fitness last night revealed exclusively to The Northern Echo how he was on the brink of signing a deal to buy land at Morton Palms for the scheme.
But after Darlington Borough Council refused to reject JJB Sports' plans for a 15-acre site, only a few hundred yards away, he pulled the plug on the scheme and said he would look elsewhere.
The Soccerdome plans, centred around a former Cummins factory off Yarm Road, include a health club and two stores, a JJB Sports outlet and a TJ Hughes fashion shop.
But the site falls outside the area earmarked for retail development in the authority's local plan, a blueprint for the borough's future.
After revealing his plans, Mr Bannatyne challenged the council to stand by its local plan and reject the scheme, otherwise his firm would pull out of the deal, which would create 90 "high value" jobs.
However, the authority, unmoved by his ultimatum, said the £15m-£20m Soccerdome scheme must be given the same consideration as any other project.
Mr Bannatyne said: "It's unfortunate that the council have decided not to confirm their local plan today.
"As a result, I have no option but to put my plans for Morton Palms on hold. The company is not emotionally attached to this site, but we are determined to have our head office attached to a health club.
"There are numerous other health club sites which we are investigating in areas outside of Darlington."
He said the purchase of the land would have been at commercial rates and added the site had been chosen with the local plan in mind.
"Clearly the retail element of the JJB application is crucial as it would be impossible to create 400 jobs with just a fitness club and football complex," Mr Bannatyne added.
A council spokesman said: "We've got to look at it carefully and the consultation process has to be adhered to.
"Clearly, there are a significant number of planning issues, notably the substantial amount of retailing. We need more detailed information before the application is considered."
Bannatyne Fitness has been in its present head office, in Cleveland Avenue, since it owned four clubs. It now has 25 either open or under construction around the country.
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