A proposed “major” housing development at Machynlleth’s former Travis Perkins site could see the town council benefit from a cash windfall.

Early planning applications have been lodged with Powys County Council, including a pre-application application, and an application for permission to demolish some buildings on the site.

There is support from the town council for the proposed development that would see eight houses and 12 one-bedroom flats at the site which has been left empty for several years.

Town council clerk Jim Griffiths said if the development was to go ahead it could lead to funding being available for town council schemes after Powys council designated the potential development a “major development”.

That would mean developers having to provide community funding under a Section 106 agreement.

Mr Griffiths said that money would need to be dedicated to a specific project, with councillors agreeing that an application should be made.

Meanwhile, councillors reiterated their support for the development, saying that an improvement to the “eyesore” site would be welcomed.

Cllr Michael Williams said: “This site is a dumping ground. It’s been empty for a good many years, maybe for 10 years.

“I don’t think any site should be developed just because it is empty, but I don’t see anything to object to in this.”

Cllr Monica Atkins added: “I think it’s very important that the site is developed as it’s a wilderness and an eyesore. I think something good should come from this.”