A RUN-down three-storey building in Worcester is to be revamped and turned into nine new flats.

The work will take place in Lowesmoor at numbers 40-48, which will be converted into a two-storey development.

The shops at level one will be given a revamp to help their appearance, and a row of nine flats will be constructed above.

The project has been approved by the city council, despite some concern that none of the flats will be affordable homes.

The flats will sit next to a new Asda store, which is being developed as part of a £75million regeneration of the entire Lowesmoor conservation area.

Alan Coleman, city council planning officer, called it another "significant" improvement for the Lowesmoor area.

He said: "The development would see nine new flats created above the shopping units, as well as improvements to the shop frontages. A scheme in 2005 for 15 new flats along this frontage was refused because we considered it to be over-intensification of the site.

"This will be quite an attractive development for the residents. The shop frontages will be designed in accordance with advice from conservation officers.

"It's a significant improvement on what is already there, and we support it."

The city council did not ask that any of the homes be affordably priced because the size of the development is so small.

Councillor Geoff Williams said: "We may have an issue beginning to arise about small housing sites being built in Worcester without affordable housing and have to think carefully about this in the future."

Former mayor Coun Aubrey Tarbuck countered by saying "despite there being no affordable housing, it's a great development".

The developers will also have to hand the county council £11,030 towards education costs at two Worcester schools before work starts.

Stanley Road Primary School, Stanley Road, and Nunnery Wood Primary School, Prestwich Avenue, will be the two schools to benefit from the cash.

As the Worcester News reported in February, 13 shops, 10 apartments, office space, a restaurant, a 535-capacity car park and an Asda store has been approved in Lowesmoor. The £75million scheme will be complete in 2009 and create 1,000 jobs.