SPECULATION over the future of Dreamland at Margate, one of the South East’s most famous fun parks, has ended.

The attraction is to close at the end of this summer season and the Stadium Group has been announced as potential developer of a retail and leisure complex on the seafront site.

Owner Jimmy Godden said that dwindling visitor figures had forced his decision to close Dreamland at the end of this summer season.

Paul Healey, speaking on behalf of the Stadium Group developers, said: "We will welcome local people's views on our plans when we have developed them further. We will work closely with Thanet council to ensure that the development is sensitive to the masterplan for the area.”

Thanet council, the developers and Dreamland Leisure Limited issued a joint statement following “ a frank and constructive meeting” that pledged “a full commitment to public consultation on any plans”.

The statement also promises that the replacement project will be “built to the highest standard” and that a working group will be established to “set out the parameters for the consultation and masterplanning process for Margate.”

A visitor attraction must be included in the blueprint for Dreamland fun park, said Thanet council leader Cllr Richard Nicholson.

He added: “We are adamant that a definable leisure use is built into the project - a run of the mill shopping complex is not desirable at all. We want something that will be a reason for people to visit the area.”

The park’s famous wooden roller coaster may also be retained on the Dreamland site or moved to another location in Thanet. Cllr Nicholson said: “It is something we are looking at very closely as part of this overall scheme."

The Stadium Group is a privately owned Yorkshire-based development company. One of the largest retail and leisure complexes it was responsible for is the Meadowhall Centre at Sheffield.