THE first salvo will be fired in what could become a seven-figure lawsuit against the council this week.

After taking legal advice, a disgruntled developer has said there are “substantial grounds” for action against Swindon Council, and is planning to send an outline of the case to its lawyers by Friday.

As reported in the Adver on Monday, Bach Homes (Locarno) is seeking damages of more than £1m, after its plans for the redevelopment of the run-down Locarno were rejected by the planning committee.

It claims the council “misled” it by supporting its plans – then torpedoing them at the last minute.

Now Bach has been advised there is a strong case for action.

But its director Steve Rosier, of Princes Street, also hopes the matter can be settled without a legal fight.

In a statement the 55-year-old said: “We had a very positive meeting with our solicitors Clarke Willmott (CW).

“CW consider there are substantial grounds for commencing legal proceedings against the council.

“CW have been instructed to communicate our case in detail to the council solicitor, which we expect by the end of this week.

“This will allow time for both parties to reflect on the facts and seek a solution to this unfortunate problem.

“It is hoped litigation can be avoided and a meeting involving the landowners, Gael Mackenzie (owner of the Locarno), the council and ourselves would be a good start.”

The rejected plan was to turn the former town hall, in Old Town, into a seven-storey hotel, and build flats and pubs on the neighbouring council-owned car parks.

Mr Rosier said that he still intends to appeal the committee’s decision.

Investor in the project, David Christie, 67, who lives in Surrey, said: “The last thing we want is to go into a legal process.

“I’d prefer some common sense discussions with the leader of the council.

“But they’re just refusing to speak to us now. Everything has been referred to solicitors.

“Let’s just have a sensible discussion if there are some minor amendments required.”

But he reiterated that if they do go down the route of suing the council, it will be for “seven figures”.

In a statement, the council told the Adver: “We cannot comment because of the legal proceedings which we are told are imminent.”