Controversial proposals to remove planning restrictions on the former Pontins site near Morecambe, which would allow non-retirement housing to be built, are set to be refused.
Permission to convert the site into a retirement village was granted after it closed as a holiday camp, but it has remained only partially developed for a number of years.
Planning officers at Lancaster City Council said the plans lodged by Moorfields Corporate Recovery “cannot be supported by the local authority”.
Moorfields is the administrator for Allied Irish Bank (GB), the lender to Coast Development (NW) Ltd, the former owner of the initial phase of Middleton Towers.
The plans are to be discussed by the planning committee next Tuesday, May 6.