An action plan for the area aims to turn failing guest houses into attractive homes.

The council has bought up some empty properties on Crystal Road to showcase the type of transformation it wants to see.

Coun Robert Wynne, chairman of the tourism and regeneration overview and scrutiny committee, said: "Theoretically those should be some of the best Blackpool streets to live in because of their very good location.

"We would need to do a street at a time in order to really do a good job.

"We want to create a street of either really high quality apartments that people pay to stay in, or a really nice residential street.

"It could be a great place to stay because it is so handy for Blackpool's seafront attractions, and it could be a great place to live."

The South Beach Area Action Plan is one of three under preparation in order to deliver regeneration schemes. Action plans are also being prepared for Foxhall and North Beach.

Blackpool Council has appointed consultants DPP Shape as part of a team led by Keppie Massie to assist with design and feasibility elements of the Foxhall Area Action Plan.

DPP Shape has been asked to produce concept design proposals for development sites.

Lyndsey Cookson, of Blackpool Council planning department, said: "Foxhall has a range of serious economic, social and environmental issues which need to be addressed in order for this area to be a more attractive place to live."

Managing director of DPP Shape Shelagh McNerney added: "Shape is rapidly creating a name for itself in coastal regeneration.

"It has been involved in initiatives in Rhyl and Colwyn Bay and now Blackpool."