The former Dudley Leisure Centre building on Wellington Road has been sold for an undisclosed sum to Wellington DLC Ltd who plan to spend £25m building a mixture of two, three and four-bedroom homes.

Wellington DLC’s CEO, Amarjit Dhanda, said: “I know the area well, Dudley is my local council and I hope to do more deals for our developments.

“It is exciting times for Dudley, this is a mix of private and social housing to cater for all.”

Stourbridge entrepreneur Mr Dhanda, who has already tasted success as the man behind the Rummantic Drinks brand, nearly passed up on the opportunity to acquire the leisure centre site. He said: “In early February, we submitted our initial bid. Following that, there was a call for the final and best bids to be in by noon on February 16.

“I was initially reluctant to engage in a competitive bidding situation and considered not participating. However, just one minute before the deadline, I placed another bid, thinking I couldn’t resist!”

Dudley Council is aiming for around 450 new homes to be built near Dudley which the authority believes will help to regenerate the town centre.