The future of a former auction mart site can today be revealed after years of speculation - with the land being earmarked for new housing and a foodhall as part of a deal worth more than £1m.

Wigton-based Hopes Auction says an agreement has been struck to sell a large part of its former town centre headquarters to housing provider Home Group.

The land had been lined up to become a new Tesco store.

But the supermarket giant performed a U-turn in 2014, leaving the site's future unknown and Hopes with multi-million pound debts.

Hopes moved to a new base in Syke Road the previous year and the town centre site, off High Street, has laid mainly empty ever since.

It's been dubbed an "eyesore" by locals and has been on the receiving end of arson attacks.

What the site would become has been the centre of much debate in the town, with a range of ideas put forward.

But locals were unanimous in their calls for action.

About 10 acres of the prime site looks set to go to the housing provider, according to Hopes.

The Cumberland News can also reveal that an offer from an unnamed party has also been accepted for the remaining three acres.

It is earmarked for a retail development, more specifically for a cafe, butchers, greengrocers-type enterprise.

Another major supermarket had been rumoured to be in discussions about the site but it appears that their interest has cooled.

Ken Stitchell, who took over as Hopes' managing director earlier this year, said: "The Home Group have made an offer which has been accepted.

"They are doing tests on the site, drilling on the site and then they will go for planning permission."

The deal is also believed to effectively clear off the £3.3m debts the company took on to build their new site in Syke Road.

A few other pieces of land are also being sold off by the company.

Mr Stitchell added: "This has been going on for years, it's great news for the community."

Last month The Cumberland News revealed that the Hopes-owned Greenhill Hotel, on the outskirts of Wigton, had also been sold to an unnamed local businessman and his wife.

It had an asking price of £950,000.

The pending sale of the town centre site has been welcomed by local leaders and business people.

Mike Bryceson, town mayor, said the development is "very good news".

"At the moment we have that land there that is inviting trouble. The sooner something is done, the better," he said.

"This will all help with the business side of things as well. Something like the food development will bring people in.

"We are right on the edge of the Lake District and especially with news of the World Heritage Status, hopefully something like this will get people into Wigton and use the town for other things as well."

Lord Roger Liddle, Wigton's representative on Cumbria County Council, has been following the situation at Hopes closely over the last few years.

He said: "I think affordable housing in the town centre is excellent news for Wigton.

"I like that a specialist retail development could also be part of it; that will strengthen the attraction of Wigton town centre for the businesses and shoppers that use it."

Richard Mattinson, owner of Stitch and Print in High Street, is the chairman of the town's chamber of trade.

Speaking in his role as chairman, he said: "Any use or improvement of the land in the centre of the Wigton is a welcome move.

"The fact that part of it is commercial that may bring in footfall to the town is great news."

A long held ambition to build a new road through the auction site to Wigton Baths, which currently suffers from poor access at its Stony Banks base, is believed to be on the cards as part of the developments.

However, specific details of the plans will not be known until planning applications are submitted and deals completed.