Plans for an £85m seafront redevelopment in Rhyl, North Wales, appear to be back on track after a buyer was found to take over the scheme from Modus Properties.

The Manchester-based developer went into administration in June 2009, raising fears over the future of the mixed-use Ocean Plaza project, which aims to transform a 16-acre (6.5-hectare) site in the town. Scarborough Development Group (SDG), the newly-formed property and investment company, has taken over the scheme after acquiring the site from administrators acting on behalf of Modus Properties.

The Ocean Plaza development is set to include an 80-bedroom hotel, a standalone leisure unit, a food store and offices, while SDG will also take over a number of other former Modus schemes across the UK. SDG managing director Mark Jackson said: "We are a new and energetic company backed by great experience, and we are delighted to be one of the first companies to make a significant commitment to stepping back into development."

A spokesperson for Denbighshire County Council added: "The council is keen to progress with the development of this key regeneration site and has aspirations for a mixed-use development for the location."