LEADING developer Urban Splash last night reaffirmed its commitment to two key Merseyside regeneration projects – despite progress on both appearing to stall.

The company has been working on plans for Liverpool’s landmark former ABC cinema on Lime Street and Southport’s former Pleasureland complex for several years.

But the firm, which made its name regenerating northern inner cities, was hit hard by the credit crunch and was forced to cut jobs to cut costs.

Chairman Tom Bloxham said Urban Splash is still determined to do something “very special” with the sites, but that it was not in position to make any announcements yet.

He likened the current economic climate to that of the late 1980s and early 1990s when the company he co-founded started working in the Concert Square and Rope Walks areas of Liverpool city centre.

In September 2007 it was announced the company had been appointed as the developer for the derelict ABC cinema in Lime Street.

It announced that it wanted to convert the 1931 grade II listed building in to a New York-style supper club and a boutique hotel.

The proposals included conversion of the main upper auditorium into the supper club, which would be accessed via the main ground floor foyer and lobby.

It also said it would convert the two smaller cinema screens on the ground floor into new retail leisure units with independent access from Lime Street and create a boutique hotel on the top floor.

At the time plans were expected to be submitted to the city in July 2008 with work completed by mid-2010.

Yet Liverpool Council confirmed that Urban Splash is yet to submit a planning application for the site.

A year later the company was selected to deliver the 34-acre Southport Marine Park on the former Pleasureland site in the resort.

But at the same time the credit crunch was starting to bite and the company was forced to start making redundancies.

The company has already seen its £65m plans for the former Littlewoods building in Edge Lane quietly dropped.