A PROMINENT North-East city centre location is to be bought by a council more than two years after a brewery closure on the site.

The former Vaux site, in Sunderland, has remained derelict since the demise of the city's long-established brewery in July 1999, with the loss of 450 jobs.

Sunderland City Council, which has grown inpatient with new site owner, Whitbread, now plans to compulsory purchase the 28-acre swathe of land between Farringdon Row and St Mary's Way.

The council cabinet rubber stamped the decision yesterday after members were told the site has the potential to create employment for up to 2,500 people.

Members were told the acquisition cost under the compulsory order could be about £12m.

Yesterday's move followed the decision of potential developer JJ Gallagher to pull out of any project, due to Whitbread's rumoured asking price of £20m.

Council leader Colin Anderson, who favours a mix of leisure, retail, and housing on the site, said: "We have asked the developers and Whitbread to get a move on, and nothing has happened.

"We don't want to see it standing for two or three years. We hope to bring a developer in which will really help Sunderland city centre."

A Whitbread spokesman said the group was surprised by the council's actions. We approached the council in July to talk about them buying the site. We have had no approach from them since.

"We are perfectly happy to sit down with the council again to discuss the issue."