AN authority is drawing up a plan to solve the deadlock over a rundown shopping precinct.

Redcar and Cleveland Borough Council has commissioned development advice after supermarket Aldi decided not to open a supermarket in Eston precinct.

The Aldi proposals had included a scheme that involved demolition of half of Eston precinct, a new supermarket, improvements to areas and a revamp for remaining premises.

The company pulled out after it said the proposals were not economically viable.

The decision angered many residents and shop owners, who have endured vandalism, arson attacks and break-ins and had been waiting more than four years for the precinct to be redeveloped.

The council's cabinet member for economic development, Councillor Vera Moody, said: "Aldi have left behind a significant problem. Not only has an important scheme been lost, but, in the process, existing businesses have suffered.

"Property conditions have worsened, making it very difficult for individual owners and tenants to achieve the scale of re-investment needed. The poor condition of the precinct simply makes matters worse.

"It has been a very difficult situation for us, because there has been an expectation we would take a lead role in solving the problem.

"But we have no land interest in the precinct. Aldi had ownership control over a sizeable part and they continued to assure us of their commitment to deliver the scheme.

"After the expert development advice has been delivered later in July, we will be in a better position to look at what options might be feasible. We are going to be drawing up an action plan involving all the existing businesses and trying to take this issue forward in a positive manner."

Aldi spokesman Simon Plumb said the decision by the company to withdraw was disappointing to all involved.

He said: "The scheme has eventually proved economically unviable for Aldi to proceed. All efforts will now be made to find an occupier for the premises as soon as possible."