PLANS for the multi-million transformation of Bromsgrove's former market hall site have been dealt a major blow after it was announced the developers had pulled out.

But the council stress there is still hope for the ambitious scheme after confirming a cinema operator and food retailer remain committed.

In 2012 the Advertiser reported that a preferred bidder had been chosen for the site between Hanover Street, St John Street and Market Place, including George House, while Opus Land had been chosen to develop the site.

Artists' impressions were released of the site, and the council said the work was expected to be completed "by spring 2014".

But the project suffered setbacks as Opus failed to conclude negotiations with the original anchor tenant and the detailed planning application, expected to be submitted in January 2013, failed to materalise.

At last Wednesday's full council meeting, (September 24), Councillor Rita Dent, the portfolio holder for the town centre, revealed that Opus Land were no longer able to deliver the scheme as originally agreed.

"Officers believe that there is still a high level of interest on the part of potential tenants of the site," Cllr Dent added.

Further information was revealed at a meeting of the overview and scrunity board last night, (September 25), during a town centre presentation given by regeneration programme manager Richard Savory.

He said it was an unusual situation for the developers to have pulled out but not the end users - the cinema operator and food retailer - who, he said, are still totally committed to the scheme.

Council officers are now in the process of considering the options for the site going forward, with them preparing to meet within the next few weeks.

The Labour councillors on the committee, Chris Bloore, Rory Shannon and board chairman Luke Mallett, asked several questions to Mr Savory about Opus' decision.

Through questions it was established that there had been no exclusivity deal in place between Opus Land and the end users, and that the cinema operator and food retailer were not dependent on each other - so if one pulled out the other would not automatically do so.

Also at the meeting it was revealed Opus notified the council it was pulling out on September 12, but council leader Councillor Margaret Sherrey and Cllr Dent only learned of the new development on September 22.

This was after a motion was tabled by the Labour group that led to the development being announced at the full council meeting.

After the meeting Cllr Mallett said: "It defies belief that the Conservative leader and cabinet member were not even aware of the problems, despite the multi-million pound deal being pulled 10 days earlier.

"This is the single most important programme they are responsible for.

"Local people want to see action, not talk and failed deals. The council leader and cabinet member need to get back around the table personally and get this crisis sorted out in the interest of our town."

Cllr Sherrey said she wanted to reassure residents that they still very much wanted to develop the site, she was doing all she could, and officers are currently working on it.

She added it was right Chief Executive Kevin Dicks knew first and, had he not been on holiday, the information on Opus pulling out would have been released earlier.

A spokesman for Bromsgrove District Council said: "We did have the formal confirmation from Opus about their pulling out on September 12 but officers did not inform senior members until they had started to explore the next steps.

"The chief executive, leader and portfolio-holder were briefed on September 23 and remaining members were set to be informed later that week, but the Labour group’s question at council meant that the information was shared earlier than initially planned.”