Plans to build a Super IGA store were scrapped last year.
Since then project manager Mark Burns said his company, Longsword, would push ahead with plans to develop a housing project on the property.
Since 2008, Mr Burns’ plan for the vacant land in Macartney Street was to develop the supermarket to provide York residents with a modern grocery store.
Despite being given a unanimous vote of approval by the Shire of York, difficulties over negotiating a new IGA franchise in the town led to the project being scrapped.
Mr Burns said the company was blocked from building the new supermarket by IGA.
‘IGA won’t badge us, even though they designed the plans for us,’ Mr Burns said.
York already has the Co-Op IGA, which Mr Burns said barely made a profit.
Mr Burns said the company had done some research on building an over-55s housing project, but decided not to proceed. The land is 6366sqm and approved for a new grocery store, zoned commercial or residential.
‘It’s for sale at $770,000, which I think is well priced for a quick sale,’ Mr Burns said.
‘I think it’s time for somebody else to look at it ” the site needs fresh blood.’
Mr Burns said he still believed York needed a new, more modern supermarket.