Pendle Borough Council plans to take control of Pendle Rise Shopping Centre through a Compulsory Purchase Order.
If given the go-ahead by the government, the council hopes to redevelop the town centre site with new shopping facilities, car parking and improved public spaces.
The work will be undertaken with support from the Brookhouse Group, the council's joint venture development partner.
Coun Nadeem Ahmed, leader of Pendle Borough Council, said: "We’ve been trying to buy the shopping centre through negotiations with the current owner for a while, but so far this has not proved possible. Pressing ahead with a Compulsory Purchase Order is necessary so that we can own and redevelop the site.
"This will take some time because our proposal will need to go to the Secretary of State for approval and any interested party can make a representation ahead of a decision being made.”
The council was awarded £25m through the Nelson Town Deal, of which £9.2m has been earmarked for the Revitalised Nelson project which aims to bring vacant and underused town centre buildings back into use. The cost of buying Pendle Rise will be met from this fund.
Coun Ahmed added: “The redevelopment of Pendle Rise Shopping Centre delivers a key commitment of the Nelson Masterplan and meets the objectives of Nelson Town Deal funding.
“Plans for the site are currently being developed, drawing on the expertise of Brookhouse. They will also be shaped by ongoing discussions with local and national retailers.
“Our vision is to create a revitalised town centre with a strong retail offer, food and drink options and a pleasant area to eat outside to encourage social interaction."
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