PLANS to transform a former 1950s ballroom into a North-East music academy have collapsed.

Darlington businessman David Cox had hoped to revive the building, called the Beehive, on the town's Lingfield estate, and turn it into a live entertainment centre with recording studios, rehearsal rooms and an auditorium.

But negotiations with estate owner the Marchday Group, based in London, fell through on the day the lease was due to be signed by both parties.

Mr Cox is looking for another public building for the venture, but said he was left in the dark as to why the lease was withdrawn.

He said: "We were all ready to sign. The council had been fantastic and the response has been incredible from people in the town who really liked what we were doing.

"On the day we were due to sign they asked if I had considered a five-year lease instead of a ten-year. They said they may have alternate plans for the building and it would be an idea for it to run for five years.

"Days later they called to say they had withdrawn the offer. I was furious at the time. The building was perfect for what we wanted to do.

"It would be a shame for Darlington to miss out on this project, the atmosphere was going to be amazing."

Mr Cox said he had more than 100 people wanting to sign up as members of the academy.

A spokesman for the Marchday Group said it was still undecided over the ballroom's future.

Eddie Humphries, estate manager, said: "Last year Lingfield Point came to the end of the £16m first phase of a seven-year development programme.

"As such, the site is very much still in a transitional period, with many aspects of its future still under review.

"The Beehive was of great importance to Darlington in the 1950s and 1960s, and we hope that any interested party will reflect the economic importance of the site."

Mr Cox had gained support from Darlington Borough Council, which was giving him advice on grants he could seek to support the project.

A spokeswoman said: "It is a disappointment, as everyone seemed ideally suited to the project, and if successful would have created 20 to 30 jobs and brought the building back into use."