People living on an Oxford estate are hoping a longtime eyesore in their neighbourhood will finally be rejuvenated.

The site of the former King of Prussia pub has been derelict since the building was destroyed in a fire in July 2006.

Midcounties Co-op, which has owned the land in Rose Hill since August 2005, this week won approval for its plans to build a parade of four shops at the site.

It follows a series of previous planning applications.

Families in the area have complained the derelict site became a magnet for vandalism and drug abuse.

The site is now boarded off to prevent anyone gaining access.

Oxford City Council’s south east area committee approved the latest application on Monday.

Bill Buckingham, 87, secretary and president of the Rose Hill Community Centre in The Oval, said he had often used the pub while on leave from the Army in the Second World War.

He added: “It is about time they started building.

“It is a blot.

“It looks an eyesore with all the boarding around it.

“It will be quite useful for the people of Rose Hill, so I am really pleased.

“The quicker they get on with it the better.”

Ed Turner, city councillor for Rose Hill, said: “I have been lobbying the Co-op for quite some time to proceed with the development because the site, as it stands, is a real eyesore.

“Broadly I would welcome this and I hope they get on with it.”

In May 2007, Oxford City Council granted Midcounties Co-op permission to build four shops and eight flats on the site but the plans were scaled down after a wrangle over developer contributions.

The revised plans include a two-storey building with four shops on the ground floor and office and storage space above. They also include parking for 27 cars as well as cycle racks and floodlights.

Councillors approved the plans on condition Midcounties Co-op pledged £40,000 for work on local highways and £10,000 for public realm improvements.

It is not clear when work will begin on the new site. No-one from Midcounties Co-op was available for comment.