The site at Quarry Hill - near the West Yorkshire Playhouse and Leeds College of Music - and currently a car-park could be sold to developer Caddick under secret “revised terms” due to be discussed by council chiefs today.
The redevelopment plans originally included 700 apartments, a hotel, offices, restaurants and bars but have lain dormant since the recession hit.
City council bosses hope the revival of the Quarry Hill project will be a “major success” to complement the arrival of the Leeds Arena and offer real “confidence” for future development in the city centre.
This latest development comes just weeks after it was revealed fresh details about plans for the revival of the city’s aband- oned Lumiere skyscrapers project.
And business leaders today said the revival of the two schemes would act as a “stimulus” and breathe “new life” into the city.
Mark Goldstone, head of business representations and policy at the Leeds Chamber of Commerce, said: “The prospects for Leeds in 2013 look healthy despite the current uncertainty in the UK economy.
“Developers take a longer term view and clearly they are seeing an optimistic future for Leeds. Schemes such as Lumiere and Quarry Hill are both prime sites close to the city centre with great potential to add value to the Leeds economy.”
Caddick, which is based in Knottingley, first submitted its designs for the site in 2003, winning the “preferred bidder” nod from city planning chiefs. An initial planning application in 2004 was rejected.
The sale of the site was put on hold after the recession hit, and after initial negotiations broke down.
But now the firm is pushing to finalise its acquisition “without delay”.