Managing director Dean Cocker confirmed that the group had purchased the two sites at 122 and 124-126 York Street recently.

Mr Cocker said talks with operators and different potential tenants were already progressing for the sites, with some concept plans underway. The site at 122 York Street was most recently marred with controversy.

Trading as a hotel since its construction by Boags Brewery in the 1960s, it was once the former St James Hotel.

But most recently, the site operated as Empire 44 Bar & Nightclub, previously known as Mode and Hotel New York, was raided by Tasmania Police in November 2019, part of a series of operations by the force to tackle drug trafficking in Launceston.

The site at 124-126 York Street is operating as a public carpark, as well as the location of popular food truck Jaffar Kebab.

The potential new project comes alongside other developments planned for the area, with the carpark located at the back of the former Best & Less in the Brisbane Street Mall.

That site is now set to become a "mega store" of brands from the Cotton On Group, who took over the lease in November.

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