A major retail development proposal has been submitted for the derelict Lisnagelvin Leisure Centre site in Londonderry's Waterside area, with the potential to generate up to 100 jobs once operational and a further 80 to 100 positions during construction.
TJ Morris, the operator behind the Home Bargains discount retail chain, has lodged a planning application with Derry City and Strabane District Council for the 2.75-acre site. The scheme includes a new Home Bargains store, café and garden centre, representing a £8.5m capital investment in the city.
The leisure centre, which first opened during the 1980s, has remained empty since its closure in 2015. Over the intervening years, the abandoned building has suffered from anti-social behaviour, including multiple arson incidents that have blighted the surrounding area.
In a significant step forward, the council disposed of the property and land to TJ Morris earlier this year for £2.5m. According to planning consultancy Inaltus, which prepared the accompanying statement, the proposed scheme comprises a retail unit with a garden centre, landscaping, car parking, access and associated site works.

Inaltus argued that the development would strengthen the local commercial landscape by complementing existing businesses and services in the vicinity. The consultants emphasised that the investment would offer a genuine opportunity to breathe new life into a site that has deteriorated significantly during its decade-long vacancy.
How does this fit into the council's wider vision?
The proposal aligns with strategic planning objectives established by the council. The council's 2022 development brief for the site sought a mixed-use commercial scheme intended to support sustainable employment and benefit the surrounding community, making the Home Bargains application a direct response to those ambitions.
What happens next?
The planning application, registered as LA11/2026/0299/PAN, will be examined by Derry City and Strabane District Council's planning committee. A public viewing of the proposals was announced for 21 May 2026, allowing residents and stakeholders to review the detailed plans before the formal decision-making process concludes.
Key Facts
- The Lisnagelvin Leisure Centre has been vacant for 11 years following its closure in 2015
- TJ Morris acquired the 2.75-acre site for £2.5m in early 2026
- The development is projected to cost £8.5m and create between 80 and 100 permanent retail positions
- Construction employment is estimated at 80 to 100 jobs during the building phase
- The scheme includes a Home Bargains store, café, garden centre and associated landscaping and parking




