A LARGE-SCALE flats development designed as a key part of the Wickford Masterplan has been shelved indefinitely.

The recession means developer Bradgate is no longer able to complete the second phase of its Riverside Place development, in Lower Southend Road.

Another 117 luxury flats were due to be added to the 56 already put up in the first phase.

Now Bradgate has been forced to shelve the scheme and says it is only planning six more flats.

The Echo reported last year the project had hit a snag when Basildon Council failed to serve a compulsory purchase order, forcing Royal Mail out of its sorting office site, in Lower Southend Road.

This would have made way for the remaining flats.

Now council leader Tony Ball has confirmed the second phase two is definitely “on hold because of the recession”.

It is the latest blow to hit hopes of transforming the town centre. Talks aimed at finding a single developer to implement the masterplan, which includes new homes, a health centre and revamped swimming pool, collapsed some time ago.

However, Mr Ball said the council still hoped work could begin within the next year on the new health centre.

It is understood building the six new flats at Riverside Place will help stabilise potential foundation problems which came to light when builders unearthed a large and previously unplotted sewer.

Bradgate, which is owned by a Tory Chelmsford borough councillor named Ray Ride, has applied to Basildon Council to build the six flats and alter one of the existing flat blocks.

Mr Ball said “My understanding is it is about revising the plans to get over the sewer they found after excavating.”