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Dreamland's parent company is hoping to open a five-storey seafront hotel.
An application for a 124-bed hotel along Marine Terrace, complete with rooftop bar, has been submitted to Thanet District Council by Margate Estates following a £50 million investment into Dreamland.
It would see the demolition of existing property to make way for building, aptly named Sea View Hotel, next to the theme park.
Creating 50 new jobs, it would also comprise of a gym, meeting spaces, restaurant and flexible retail or restaurant space on the ground floor.
More than 200 people attended drop in sessions to discuss the proposed development with members of the consultant team and representatives of the applicant.
As part of the proposal, the building which contain's Ziggy's Bar would be demolished to make way for a new rooftop bar open to the public with a capacity of 250 people.
Bosses at Margate Estates say the hotel would reflect the town's burgeoning tourism.
A statement in the application says: "Over the last five years there has been significant tourism growth across Kent, Thanet and specifically in Margate which sparked a renewed local confidence in development within this sector.
"The provision of additional quality visitor accommodation, to increase bedroom capacity, is seen as being vital to increase the volume of short breaks and business tourism.
"In addition to the hotel, the ground floor is proposed to offer a hotel restaurant and bar, and one high quality, flexible retail unit.
"These aspects will contribute to the offer of tourism and leisure activities at ground level, and to activating the Marine Terrace seafront. In addition, the proposal incorporates provision of a rooftop bar. The rooftop will be accessed via the hotel, and will be comprised of a large internal bar and seating area, and two outdoor terraces with views over Margate and Dreamland.
"The proposed new rooftop terrace is expected to be a popular destination for both local residents and visitors to the area, and would contribute to improving the offer of leisure and tourism facilities in Margate, and to extending the tourism season.
"During a series of consultation during which invited guests and members of the public had the opportunity to review the proposed plans, there was overwhelming support for the hotel proposal and the rooftop bar."