A COUNCIL has given its blessing to plans to transform a derelict town centre eyesore into flats.

Councillors in Middlesbrough have given planning approval to the £12m redevelopment of the ten-storey empty Teesside House tower block, on Borough Road, which was for years the home of junkies and squatters.

Shortly after falling empty following the scrapping of Cleveland County Council in 1996, the block became the home of drug takers, who intimidated and stole from local businesses and regularly broke into cars parked close to the building, which is next to the town's police station.

The tower block was twice raided by police, who recovered items stolen from local stores and ejected squatters.

Work begins today on a year-long project to convert part of the building, and the car parks which used to serve it, into student flats.

In addition to the 249 student flats, there will be six luxury penthouse apartments, and a restaurant and a shop will be opened on the ground floor.

The site's new owners are housing landlords Campus Lifestyle.

Middlesbrough Mayor Ray Mallon used to be head of Middlesbrough CID, based in the town's police station, yards from the former drugs den.

He said: "The Campus Lifestyle project will turn a town centre eyesore into a tremendous asset for Middlesbrough.

"It is good to see a firm putting its faith and substantial investment in the town centre."

Mr Mallon added: "Good quality accommodation is essential if we are going to broaden and improve what the town centre offers residents and visitors."

Cheryl Barber, finance director for owners Campus Lifestyle said: "We are now able to start work on creating Middlesbrough's first contemporary city living space, which can only help to accelerate the town centre's renaissance.

"The student accommodation, which Campus Lifestyle will manage, will be of the highest standard, with optimum security and quality fittings and furniture."

She added: "The apartments, which will be offered for sale starting at £99,000, will appeal, we anticipate, to young professionals working in the town and to parents with siblings who are studying in the area."