Hebburn HMO plan scraped after council rejection as bid continues to give pub new lease of life

Revised plans to convert an ex-pub into a café restaurant with flats above have been submitted to council development bosses.

South Tyneside Council’s planning department has received a new planning application for The Kelly public house site, off Hedgeley Road, in the Hebburn area.

Initial plans for a “café/restaurant” on the building's ground floor along with “alterations and extensions” to the upper floors to create residential accommodation were refused by the council's Planning Committee last year (2025).

This followed councillors' concerns about parking provision, increased traffic and privacy impacts on nearby residents and developers recently lodged an appeal against the council ruling with the national Planning Inspectorate.

A new planning application has now been submitted which, according to applicants, addresses previous council refusal reasons for the scheme while "reducing its overall residential intensity."

This includes the "removal" of a five-bedroom house in multiple occupation (HMO) and replacing it with two self-contained flats, resulting in a "substantial reduction in the number of potential occupants" as well as providing "reduced vehicle ownership levels, reduced parking demand and the elimination of high-turnover HMO occupation."

The revised planning application is now seeking permission for the "change of use of ground floor from public house to café/restaurant and alterations and extensions to first and second floor creating four two-bedroom flats and two one-bedroom flats."

A supporting statement from applicant I and A Commercial Properties Ltd adds: "The revised proposal has been comprehensively amended to address each reason for refusal.

"The removal of the five -bedroom HMO and replacement with two flats significantly reduces residential intensity and parking demand.

"The north-west elevation windows benefit from a separation distance exceeding 21 metres, and the revised residential use improves the amenity relationship.

"The flat roof has been replaced with a pitched roof and lean-to form, ensuring the development respects the character of the streetscape.

"It is therefore considered that the previous reasons for refusal have been fully and satisfactorily overcome, and the revised scheme now accords with policy DM1 of the South Tyneside Local Development Framework and the relevant provisions of the National Planning Policy Framework."

A decision on the plan is expected following a council consultation exercise.

For more information on the plan, visit South Tyneside Council’s planning portal website and search reference: 260129