DEVELOPERS locked in a row over the future of a historic dock yard claim their plans could create a £150 million boost to Glasgow's economy.

A report commissioned by developers New City Vision also states that the proposal to build new homes and commercial space at Govan Graving Dock will create more than 1000 new jobs and turn the area into a "vibrant new community".

However, the regeneration of the Grade-A listed site is facing fierce opposition from campaigners who fear it will radically alter one of the Clyde's last few reminders of its shipping heritage.

Plans for the development, which would include 720 new homes, a hotel, shops, restaurants and office space, are being considered by Glasgow City Council.

Harry O'Donnell, chairman of New City Vision, said: "This site has been derelict for 30 years. It is an eyesore. Our plans will remove this blot on the city’s landscape and reinvigorate the area by creating long-term jobs and much-needed affordable housing."

The economic impact report, carried out by research consultancy EKOS, found that the plans would bring around 800 one-off construction jobs during the building period and an additional 250 permanent positions.

The development is also predicted to bring £146 million to Glasgow's economy over 25 years.

In its key findings, EKOS states: "The development will transform the derelict former Graving Docks site into a vibrant new community of around 1500 people with a range of local retail and leisure facilities.

"The completed development and the increase in the resident base will provide a boost to existing local services and businesses in the wider Govan area, provide employment opportunities, particularly for young people, and contribute to the ongoing regeneration of the riverside area of Govan."

Mr O'Donnell added that his development would be "built around" the dock, "retaining and showcasing the historic structures".

However, campaign group Clyde Docks Preservation Initiative (CDPI) described the report as "clear spin" and said it still failed to address the many concerns about the development - including flood risks and the maintenance of the quay wall and dry dock at the site.

Iain McGillivray, executive director of CDPI, said: "It seems that the developers have an albatross around their neck, that they've spent almost two decades trying to develop, and that their investors and creditors need to make some financial return from what they’ve poured into it.

"That’s what the proposal is about, it’s nothing to do with the regeneration needs of Govan or Glasgow."

Mr McGillivray added that the campaign group prefers a blueprint put forward by businessman Jim McColl's Ferguson Marine Engineering which aims to bring the dock - close to the city’s Riverside Museum - back into use as a ship repair yard.

Other objectors to the New City plans include the Scottish Environmental Protection Agency, Historic Environment Scotland and West of Scotland Archaeology Service.