Plans to turn the derelict site into a hotel and shopping development have been submitted to the city council.

The six-storey King Street development would include two floors of retail use with a 115-bedroom hotel on the second to fifth floors.

A spokesman for Manchester developers Kempsten Ltd, who now own the site, said: "We are looking forward to helping to improve the overall amenity of Lancaster by taking a run down old building and turning it into something that's useful.

"From what we understand from the marketplace, hoteliers would fight to have such a location."

The spokesman named Travelodge as a possible buyer.

Permission to demolish the existing bingo hall and cinema building was granted by the council earlier this year, although a replacement building must be agreed upon before work can start.

The site will also need conservation area consent.

Bingo ceased on the site in February 2007 after 35 years. Gala cited "commercial reasons."

Until August last year the art deco building also housed the Regal cinema.

Independent chain Northern Morris was the last operator, running alongside the bingo club for three years. The building first opened in 1936 with 1,592 seats.

Since then it has passed through a number of hands, including Star, Cannon and ABC, and had a dual role as cinema and bingo club from 1971.

Owner Charles Morris said he was forced into the closure following the opening of the six-screen Vue cinema in the city centre.

*This year Travelodge offered cash to anyone who named a site where they could build a hotel. They were prepared to reward the person with £500 for each bedroom the proposed hotel could accommodate.

Did you nominate the cinema site? Are you in line for a £57,500 payout?

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