Council bosses have agreed to sell land to a shopping centre in Stoke to facilitate a £20m expansion leisure project.

Despite blocking a similar deal 18 months ago, Stoke-on-Trent City Council plans to sell off 537sq m (5,780sq ft) of land at Quadrant Road to intu Potteries for a fee of £180,000.

The 60,000sq ft expansion – called The Hive – will feature five restaurants and a Cineworld multiplex, but the council's earlier refusal to sell the land forced developer intu to scale back its original plans for the land.

The city council last year revealed the original land deal would have put it in breach of its contract with Realis Estates, the developers behind another proposed £350m shopping complex on the site of the former bus station. Outline planning permission for the City Sentral development lapsed in February 2014 but Realis and the council have insisted it will still go ahead. Those proposals were originally due for completion next year and included a department store, multi-screen cinema, 80-bedroom hotel and more than 70 shops and restaurants.

City councillor Ruth Rosenau, cabinet member for regeneration, planning and transportation, said: "Selling this land will enable intu to push ahead with its preferred development scheme and enhance the leisure and retail offer within the city centre, while also providing a boost to the local economy.

"While we are delighted to see this project taking place, this council remains committed to the City Sentral development and looks forward to seeing the revised plans that will be put forward by Realis. The vision is to have both City Sentral and an expanded intu Potteries that will give people even more reason to head to our wonderful city centre."