The end could be in sight for development on the former Royal Albert Drive cafe site.
The cafe and toilets were demolished in March with Scarborough Borough Council hoping to increase the size of the plot of land in a bid to attract more developers to submit offers.
The Scarborough News is aware of two applications by developers for the site which were rejected.
It is understood the council wants holiday lets included as part of any development on the Royal Albert Drive site.
Richard Ward shared submitted plans to transform the cafe into a restaurant specialising in locally caught seafood last year on behalf of an investment group.
Ben Stonehouse also paid thousands of pounds for plans to be drawn up for his £2million development that included eight holiday apartments, three penthouses and five two-bedroom, three retail shops, two restaurants, a toilet block and the renovated Sea King helicopter used as a cafe on the roof.
Now the council has revealed that an application will be considered at next month’s Cabinet meeting.
Martin Pedley, Scarborough Borough Council asset and risk manager said: “It is not appropriate for us to comment on why individual bids have not been successful, but we can confirm that as a result of the most recent tender process, Cabinet will be asked to approve a preferred developer for the site at its next meeting in September.”
The demolition of the toilets at the Royal Albert Drive cafe site leaves no public loos between Peasholm and Luna Park, causing anger among residents.
Scarborough Borough Council rejected a plan for portable toilets on Marine Drive following the demolition in May despite the public leaving their councillors in no doubt as to their anger at the council.
At a full council meeting, council leader Cllr Derek Bastiman said the council was aware of the public’s feelings on the matter.
However, the council’s cabinet was told by Cllr Andrew Jenkinson that to put portable toilets there “would be a step backwards”.