Welwyn Hatfield District Council and the Government's regeneration agency English Partnerships have selected St Modwen Developments as preferred developer for the regeneration of Hatfield's town centre in Hertfordshire.
The developer will begin consultation with local groups to identify the exact requirements of the town, but broadly the project will provide 19,500 sq m of retail, leisure and office space, as well as more than 140 residential units.
Hatfield has suffered from strong competition over the past decade from developments in Welwyn Garden City and the Galleria scheme on the edge of the town centre.
Although the Galleria has since been converted to an outlet mall, new retail space providing modern units is seen as essential to allow the town centre to recover lost ground.
St Modwen chief executive Anthony Glossop said: 'We identified the opportunity at Hatfield town centre some time ago. Town centre regeneration is at the heart of our business with an involvement in 14 similar schemes across the country.'