HOUSE building boss Sir Laurie Barratt has been told that he must rethink his plan to convert a row of centuries-old listed buildings into homes.

Instead, the North York Moors National Park's planning committee says it wants to see the buildings, in the beauty spot of Farndale, become a complex of workshops and IT centres for small businesses.

Paul Elm, Sir Laurie's agent, said the row, in the hamlet of Church Houses was in "a very remote location" and there was a need for permanent low cost housing. "They are not suited for commercial use because it has been shown there is no demand," he said.

He said there was traffic chaos in Farndale in the spring when its famous wild daffodils were in bloom, and during the summer tourist season.

But Val Dilcock, the chief planning officer, said the conversion of the buildings into four homes would involve "substantial alterations" which would have an adverse effect on them.