A multi-million pound riverside transformation has been unveiled.

The redevelopment of the derelict East Holborn site, in South Shields, South Tyneside, will create more than 300 jobs and attract £200m of public and private sector investment.

Located near the mouth of the River Tyne and existing ferry links, East Holborn will also act as a European gateway, a portal to the region for national and international visitors.

The mixed development will feature luxury homes, offices, shops, a hotel, restaurants, leisure, health and fitness facilities.

Another key feature will be a riverside walkway, about three-quarters of a kilometre long, providing greater public access.

Property developer Branmore Investments, which has submitted an application for outline planning permission to South Tyneside Council, has unveiled the plans.

It is hoped that the first phase will be well under way for the Tall Ships visit in 2005.

The development already has widespread support, including that of local MP David Miliband.

He said: "I am always pleased to hear about ambitious plans for regeneration that have the interests of the community at heart. The riverside is a great asset and we need to ensure that in the future it is used for a mixture of work, leisure and housing.

"This plan shows that the transformation of South Tyneside can capture the imagination and I look forward to seeing the plans develop."

South Tyneside Council leader Paul Waggott said: "This is the kind of redevelopment proposal which fits in with the council's overall ambitions for the regeneration of the borough.

"The application for outline planning permission has only just been received and will now be thoroughly assessed before going to the planning committee.

"Although it is in the very early stages, this type of large-scale investment and development of a prime riverside location is very much in line with the South Tyneside Transformational Plan: From Ordinary to Extraordinary."

Alan Mordain, director of Branmore, said: "This is a flagship development for a strategic regional site. Our proposals are based on high quality, high impact buildings. We want a development for which South Tyneside and the whole region can be proud.

The East Holborn development has been designed to ensure it complements the council's corporate priorities - enhancing a brownfield, riverside site, creating employment and enterprise, establishing cultural and leisure assets, and promoting community inclusion.

The outline plans also meet Government priorities set out in the Urban White Paper and meet the drive to establish mixed-use developments on brownfield sites.

The development is expected to be constructed in four phases and is due to be finished in ten years.