Councillors have backed a bid for a new state-of-the-art sporting and events pavilion.
The Alhikmah Foundation’s plan for Aberdeen’s Nelson Street was accepted as the preferred option for the site by councillors.
But Grampian Housing Association, which also submitted a £15 million bid to build affordable homes on the site, has said it is “disappointed” by the decision.
The site was determined to be surplus to requirements last year by Aberdeen City Council, and put up for sale.
Alhikmah Foundation’s plan, called Urban Fields, would create three 3G five-a-side football pitches, a multi-use community area, five new cricket net practice strips and a games area on the site.
Speaking on behalf of the Urban Fields team, Aqeel Ajazi, said: “We are delighted that councillors have chosen to support the Urban Fields bid, an opportunity they have wholeheartedly grasped that will see the once derelict Nelson Street playing fields and pavilion transformed into a modern, vibrant and multi-purpose space in the heart of the city that can be enjoyed by everyone.
“I can’t thank our supporters and the wider public enough.” Its vision would also include both an indoor and outdoor community hub, featuring an area for street food and other pop-up style markets, which local businesses would be able to hire out and make their own.
Grampian Housing Association was also hoping its bid for a new affordable homes development would impress councillors.
The homes, had the plan been backed by councillors, would have been owned and operated by the housing association.
The project, which would have cost around £15 million, would have been the first of its kind in Scotland.
A spokeswoman for Grampian Housing Association said: “We are disappointed with Aberdeen City Council’s decision about the sale of the Nelson Street site.
“Grampian Housing Association considered that the development proposal by First Foot Properties would have provided a housing solution for graduate households in the city centre, given the demand for this type of accommodation.”