A TYCOON has warned that he will scrap controversial high street redevelopment plans if the community does not want them.

Plans by Javed Majid's business, Maher Entertainments, to build a three-storey wine bar and 32-seater restaurant, on the site of a thriving tyre and exhaust centre at Yarm, has sparked angry reaction in the town.

Derek Campbell, who runs the tyre depot, claims the first he knew of entrepreneur Mr Majid's scheme was when Stockton Borough Council sent him a letter asking him for his views.

Mr Majid bought the site about two years ago, about the time that Mr Campbell's 20-year lease ran out.

Mr Majid told The Northern Echo yesterday: "We will not proceed with our plans for the restaurant if the majority of local residents are not happy. We do not want to antagonise the residents of Yarm. We have to live and work with them.''

Yarm Town Council has already formally objected to the scheme.

Maher Entertainments yesterday disclosed it is reconsidering its position and has now delayed its planning application "on the grounds of a change in the internal design and structure of the proposed building.''

Mr Majid said: "I am very disheartened and disappointed that Mr Campbell has used the media to promote a one-sided view, despite requests by myself for a meeting with him.

"The facts of the matter are that his current lease has end-ed and Mr Campbell as a tenant, is demanding a further 14-year extension, or that we pay him a substantial amount of money to leave the High Street site."

Mr Majid said: "Two years ago, Mr Campbell was offered the chance to buy the site along with two other parties, including myself. At that time, Mr Campbell decided that the property was not worth the price I paid for it.''

He said his surveyor began negotiations with Mr Campbell's surveyor about the future of the site, in November 1998.

Mr Campbell, 48, said: "The idea of wanting a substantial sum of money to move is absolutely untrue and has never been suggested or discussed by us.

"We have no intention of moving, so why would we talk about money, or look for other premises?

"All our negotiations have been made through our solicitor and it is our intention to stay here as long as we are legally entitled to.''