Fresh talks are being launched over the future of the old gasworks site in Southend - earmarked as a prime area for major redevelopment.

Kursaal operators the Rowallan Group had planned to build a new hotel, car park and old people's home on the seafront site.

Now a question mark hangs over the company's interest in pressing ahead with the scheme.

Council spokesman Lynn Allen said: "The 12-month period of exclusivity, granted to the Rowallan Group to drawn up firm proposals has now expired, and the council is in discussion with it as regards the way forward."

The high cost of decontaminating the site, on Eastern Esplanade, is thought to be one of the major stumbling blocks facing the Rowallan Group.

Councillors have called for the gasworks complex to be converted into a new car park for the thousands of visitors who will to the town over the summer season.

Meanwhile, moves to build a top-class theme restaurant, on the old corporation loading jetty, inspired by the Majestic cruise-liner are moving on apace.

However, agents acting for the company have hinted at a major change to the initial proposals - and there is even the possibility of extending the scheme to a hotel.

Ms Allen added: "Details of the scheme's revision are awaited, but it is understood that these could include some hotel accommodation which was based on detailed work which has been carried out into the financial viability of the scheme.

"A planning brief has been prepared to assist in the redevelopment of the site."

A number of companies are also interested in leasing or developing the Dizzyland site opposite the revamped Kursaal pleasure palace.

Talks with potential investors and council officers are likely to take place soon.

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