Property developer Chris Tudor-Whelan's latest proposals for the North Road site (above) were this week approved by Lancaster City Council's planning committee.

The scheme would see the club and a derelict shop next door replaced with the three-storey hotel, connected to a two-storey restaurant and wine bar built in place of a former warehouse.

But Mr Tudor-Whelan has said he will have to check the figures to see whether the development is still viable, citing the current economic climate and the costs of acquiring building materials in-keeping with the historic city.

He said: "We'll revisit the figures and look at the contract and cost of developing the site, and will hopefully make a decision later in the year.

"I'm happy that the city council has approved the plans, as this
has already taken longer than necessary." Mr Tudor-Whelan added that he had no plans to sell on the property to another company.

The Lancaster Guardian reported last week that Mr Tudor-Whelan has put the sale of 32 luxury apartments, at Knight's Bridge in Aldcliffe Road, on hold as he restructures his business because of the credit crunch.
He said his balance sheet had been "blown to smithereens".

Even if he decides to press ahead with the Warehouse development, Mr Tudor-Whelan could be stopped in his tracks if Lancashire County Council refuses to authorise a layby for delivery wagons.

The layby issue has twice led to the deferral of a decision on the application.

The proposals for 47, 49 and 51 North Road have been in the pipeline for more than eight years, while the buildings continue to stand derelict and in need of regeneration.

In 2000, planning permission was granted to Tudor-Whelan Property Holdings to convert the buildings into a restaurant and bar. However, the plans were never implemented. Two years later permission was again granted for alterations and extensions to the single-storey nightclub.
And in 2004, plans were approved to convert the building into a two-storey nightclub. Again no building-work commenced.

Coun Abbott Bryning, who has responsibility for regeneration, said: "It would be disappointing if the project did not not go ahead as it is clearly a site in town that needs regeneration. But it's also the case that the credit crunch is affecting other developments in the city as well."