The proposed redevelopment of the Moat Brae property in Dumfries, which is said to have provided author JM Barrie with the inspiration for Peter Pan, has taken a step forward.

Loreburn Housing Association (LHA) has announced that it has reached a deal with the Peter Pan Moat Brae Trust (PPMBT), which will see the trust take forward the repair and refurbishment of the property. Plans for Moat Brae include the construction of a new visitor centre and the restoration of the mansion's gardens as part of efforts to mark the birthplace of Peter Pan and further preserve the town's heritage.

A holiday flat for respite care for sick children and outreach centres for the Museum of Childhood and the Scottish Storytelling Centre have also been proposed as part of the scheme. PPMBT chair Roger Windsor said: "We need immediate remedial work to stop further deterioration and the trust will be concentrating its initial efforts in raising funds to this end.

"Work has already commenced to re-establish 'Neverland' on the banks of the Nith, and to restore this beautiful house as a cultural inspiration for the whole community." LHA convener Iain Agnew added: "After months of close co-operation with the trust, we feel it is now best placed to lead a restoration project that will see all of Loreburn's objectives realised."

A major fundraising campaign to finance the scheme is now expected to be launched by the trust.