Developers behind the controversial scheme to convert the former East Devon District Council headquarters in Sidmouth into an assisted living community are now "considering their options" for the site.

Following refusal of an initial planning application, permission was eventually granted to redevelop the Knowle in Sidmouth into 113 assisted living apartments in January 2018.

Lifestory Group Limited, formerly known as Pegasus Life Ltd, eventually completed the purchase of the site in January 2020, but 14 months on little in the way of substantial works at the site have been carried out.

Lifestory has confirmed that it has carried out some 'initial works' on the site so planning permission is still in place, but it is currently "reviewing the consented development".

Marc Evans, regional managing director for Lifestory, said: "We've been carrying out some initial works on site lately and whilst the permission has been implemented, we've also been reviewing the consented development.

"For a number of reasons, including our experience elsewhere, we're changing our focus in terms of the types of later living schemes we're likely to be developing in future.

"As a result, we're now considering options for the site's redevelopment, which we've spoken to the council about.

"We'll continue to talk to the council over the coming weeks and we're keen to make sure that the site's redevelopment is successfully achieved."

In 2015, the council decided to relocate from its headquarters at the Knowle to new, purpose-built offices in Honiton and Exmouth. And to finance the move, the council agreed to sell its Knowle headquarters to what was then known as Pegasus Life Ltd for £7.5million.

The plans were initially thrown into jeopardy when a planning application by Pegasus Life for a 113-apartment assisted living community for older people was refused by the council's planning committee, only for panning inspector Michael Boniface to allow the appeal.

East Devon District Council then moved out of the Knowle in February 2019, with two thirds of the staff moving to the new Blackdown House in Honiton, and one third to the refurbished Exmouth Town Hall.

Blackdown House cost the council £8.7million, while an additional £1.5million was spent on upgrading Exmouth Town Hall.

In January 2020, East Devon received the full purchase price of £9,019,605 from Lifestory for the site, plus an additional £38,000 as a penalty for a late payment.

The site was handed over to Lifestory in 2020 for work to begin on the assisted living community, which was set to comprise of extra care units, staff accommodation and communal facilities, including a kitchen, restaurant, bar, café, a well-being suite, a gym, treatment rooms and pool, comprehensive landscaping and groundworks.

Construction phasing plans – a condition of the initial planning permission – were submitted and approved in November 2020, but after starting initial works to implement the planning permission, Lifestory is now considering its options for the site's redevelopment.