Buncrana Town Council has recieved a new application for a major residential development in the site of the old Fruit of the Loom factory, with a second application for retail development expected shortly.
A previous application by development company Rishton Limited was refused after it was appealed to An Bord Pleanala.
When the application was discussed at a recent meeting of Buncrana Town Council, Councillors were almost unanimous in welcoming the new application.
However Councillor Michelle Bradley expressed her concern that further residential development was being proposed while many houses in the area are vacant.
The application proposed the demolition of some of the building currently occupying the site and for the construction of 38 dwellings, car park spaces and childrens play area.
it is understood that Rishton Limited will soon lodge a change or use application for the remainding buildings on the site for retail - It is understood the company has already secured a major anchor tenant.