Plans for a new £7.5m residential and commercial development in the centre of Saundersfoot have been submitted to Pembrokeshire County Council.

The new development is being brought forward by DAW (Saundersfoot) LLP, a joint venture between developers Actoris, St. Brides Ltd and Waterstone Homes.

The development, which signifies a major investment in the area, is more than 40,000 sq ft and will comprise of eight town houses, 24 apartments, five retail units and a restaurant with adjoining sun terrace. Much of the village centre site is currently derelict, but it also incorporates the former Cambrian Hotel, a landmark, grade 2 listed building overlooking the harbour.

The plans have been presented to members of the local community council and have now been formally submitted for consideration. If approved, DAW (Saundersfoot) LLP plan to start work in late spring this year, with the construction lasting approximately 18 months.

During construction, around 80 jobs will be available and the retail and restaurant spaces will provide long term job opportunities for local residents once the development has been completed.

Matt Bryant, director at Actoris, commented: "We have worked very closely with Pembrokeshire Coast National Park to design a variety of buildings that enhance the local built environment and add to the outstanding character of this beautiful seaside resort. We have presented our plans to the members of the local community council and the support for our proposals has been overwhelming.

"The joint venture partners are keen to complete the development as soon as possible despite the current tough economic conditions. We bought the site last year and we want to start works as soon as we can. We have the continued support of our bankers, Handelsbanken, and we know that there is still very strong demand for high quality residential and retail space."

Simon Jehu, director of Waterstone Homes, added: "We are looking forward to bringing our brand of high specification and sought-after homes to the local community in Saundersfoot. As well as benefiting from living on the stunning Pembrokeshire coastline, future residents can take full advantage of all the conveniences that being part of a wider development will bring.

"We have had a warm welcoming from the Pembrokeshire Coast National Park planning team and their proactive planning approach has been refreshing and beneficial to all parties."

Alistair Dalton, of St Brides Ltd, said: "We are very excited to be working with Actoris and Waterstone Homes, two highly respected developers, to bring forward this much needed privately funded regeneration project."