An empty town centre restaurant is back on the market after plans to convert it into flats were delayed.

Po Thai in Ashford – close to The Panorama – was set to be converted into seven units after proposals were put to the council in June last year.

But a decision on the scheme is yet to be made due to an environmental issue at Stodmarsh Nature Reserve which has been stalling housing developments across the county for years.

The wetlands, outside Canterbury, are a haven for wildlife but were found to be suffering from high levels of nitrogen and phosphorous in 2020.

Since these pollution issues came to light, Natural England has been instructing local planning authorities not to grant approval for new housing without mitigating measures.

Now, Ashford Borough Council (ABC) bosses have confirmed the decision on the ex-Po Thai building has stalled because “nutrient neutrality” is required.

If approved, the site would have been turned into three one-bedroom flats, and four two-bedroom flats.

An ABC spokesman said: “This application is yet to be determined and has been delayed owing to the ongoing issues requiring new housing and other developments to achieve ‘nutrient neutrality’, due to the deterioration of Stodmarsh Lakes.”

This delay to the scheme – submitted by applicant Oruc Gurkan – has led to the empty restaurant going back on the market for £550,000.

The sales advert says the property would suit another restaurant or similar uses within use class E.

Richard Stafford from Stafford and Perkins – the agency selling the property – says the Park Street site has generated a lot of interest so far with all those looking at it in the hospitality sector.

“We are happy it will remain in use as a commercial property,” he said.

“There is one offer on the table with more expected – there has been a lot of interest in it.

“Stodmarsh has caused a lot of disruption, for example, the former Volvo garage in Chart Road was earmarked for flats but now it will be a commercial property.”

Before Po Thai opened in 2016, the building was the Press Rooms and Downtown Diner.