A TEXTILE mill dating back to the 19th century is to be demolished to make way for 78 houses.

The luxury housing development will be built on the site which, until recently, was occupied by Morada International.

Bosses at the Hope Street Mill put in the bid to build homes on the site on the same day that the staff were told their jobs were going.

More than half the work force were made redundant at the firm in February when the management of what is the country's only supplier of fabric linings which dyes its materials in-house decided to close down their production facility, and secure new premises for their remaining staff.

They blamed the closure on high production costs and high prices.

Nearby residents objected to the plan to develop the site, claiming it would lead to more traffic on already congested roads and that it would lead to a loss of land which could be used for generating future employment in the area.

However, Coun Connie Fitzgerald, a member of the borough's planning control sub committee, said: "The factory has outgrown its time there, it is now better for housing which will enhance the area.