Barbour’s Garage has been empty since a grocery shop run from the premises was forced to close down in January last year.

The Association wants to demolish the remnants of the petrol station on Cross Street and build new affordable homes to help ease Aberdeenshire Council’s housing waiting list.

A planning application has yet to be submitted but councillors are confident the development will have a “positive impact”.

Ian Tait said he had encouraged the purchase of the land by initiating meetings between the local authority and the land’s former owner.

He told the Press & Journal: “This will have a positive impact on the housing waiting lists by providing good quality accommodation.

“It will, of course, require the agreement and cooperation between the council and Grampian Housing Association, who will be the lead partner in this joint effort.

“This major development will be a much needed step in reducing the housing waiting list as well as removing an eyesore from the central area of the town.”

Brian Topping, vice-chairman of the Buchan area committee, which will have a say on any future planning application, added: “That garage has been derelict for some time.

“But housing is something that is much needed within our communities, and Fraserburgh is no different. To have additional housing will be great and will tidy up that whole site.

“Obviously, it will come up for planning and that is another issue – whether the design of it fits in with that part of the town. But the principle of having homes there is a good one.”

Craig Stirrat, director of business development at Grampian Housing Association, told Scottish Housing News: “We are pleased to be working with Aberdeenshire Council to bring new affordable homes to Fraserburgh.

“We see this as a way of providing much needed homes for key workers and others in housing need.

“The redevelopment of this site is part of the town centre regeneration and our plans will be sensitive to the design requirements of a conservation area.

“We hope to submit a planning application for this joint venture by the end of the year.”