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A new 120-bed Premier Inn hotel is to be built in Canterbury on the site of the Blockbuster building in New Dover Road.
An application by the company was granted planning permission on Tuesday night after councillors agreed the budget hotel chain would be an asset to the city.
The new building will have two retail units on the ground floor and 24 car parking spaces at the rear.
There had been concerns by both the Canterbury Conservation Advisory Committee and Oaten Hill and District Society about the scale of the five-storey building, the capacity of the sewerage system and potential parking problems.
The scheme was subsequently modified by architects to include a sloping vertical elevation on the top storey to reduce its impact.
But Southern Water said the drainage plans were acceptable and a survey of parking in the area concluded there was enough spare capacity.
A report by planning officers to development management committee members recommended that councillors approve the application.
They were told that developer contributions would be used to help pay for improved lighting in the St George’s Place underpass.
Planning officer Bob Britnell said: "It is considered the proposal represents a very real opportunity to enhance the city by increasing bed spaces in a way that has no unacceptable impact on the local and wider environment."