DEVELOPERS say they have no plans to build a multi-screen cinema as part of their latest town centre scheme.

Earlier this week Terrace Hill applied to Darlington Borough Council to build an office block at the corner of Feethams and Houndgate.

The area, which was devastated by fire in January 2000, had been the subject of a planning row between Terrace Hall and rival developer Simons Estates.

Simons Estate wanted to develop the bus station opposite the fire-damaged site but the two developers could not agree to work together so Terrace Hill was given permission to develop its part of the site on its own.

Last year the council gave the company outline planning permission to turn the site into a cinema and leisure complex.

And earlier this week, a council spokesman suggested that the office building could renew interest in a long-awaited multiplex cinema being built in the town.

But a spokeswoman for Terrace Hill said the company no longer had plans to build a cinema.

She said: "We did a lot of research into the possibility of building a new cinema in the town.

"The research showed there was simply not enough interest from cinema operators in the site or the town.

"We have no plans in the near future to build a cinema anywhere in the town as we believe there is no demand for it."

The spokeswoman said the company was now concentrating all its efforts on the office block.

She said: "If planning permission is granted for the office building then it will be the first new development of its kind in Darlington for many years.

"This is a very positive step for us and we are glad we can start work on the site."

The development will create 30,000 sq ft of office space on four floors and will include two lifts and parking for 46 cars.

Despite Terrace Hill's insistence that it will not build a cinema, a spokesman for the council said the bus station site could still be developed.

He said: "What Terrace Hill do does not effect what could happen on the opposite side of the road."

* A new office development in Darlington has attracted so much interest that plans are under way to expand the scheme.

London development company Gort has announced that because there have been so many inquiries about the first two phases of the office development on the former Whessoe site, it is planning another phase.

A further 16,500sq ft complex is now in the pipeline and Interserve have been appointed as principal contractors.