Calls have been made for a hotel to be built on the site of the Syndicate nightclub in Blackpool.
Conservative group leader Coun Tony Williams believes the move would help boost conference trade for the town.
He says it would help the nearby Winter Gardens attract more delegates.
Blackpool Council bought the former super-club at the end of last year for £635,00 and revealed plans to demolish the building and use the land as a car park in the short term.
But Coun Williams said: “Experts in conferencing tell me the preferred option for organisers is to have a conference centre with on site accommodation.
“This is also offered as a reason why Blackpool doesn’t enjoy its share of this type of year round business.
“Maybe a better use for the Syndicate plot rather than turning this into a car park might be to negotiate with a recognised brand accommodation chain who would build a new hotel on a site that would be just across the street from the Winter Gardens and thereby delivering an almost integral facility.”
Coun Williams added he believed there would be enough trade to support a new hotel and existing holiday accommodation in the area.
Town hall chiefs say they are considering a number of possible options for the site.
Coun Graham Cain, cabinet member for tourism and leisure, said: “The council purchased the Syndicate as it was a key site for development linking the town centre with the Talbot Gateway Central Business District.
“It was only even going to be used as a car park as a temporary measure while an appropriate future use was decided.
“We would want any future development on the site to complement the existing offer in the town centre and benefit local businesses. As has been previously mentioned, hotel or conference facilities would fulfil this brief.
“We are always talking to investors, selling what Blackpool has to offer and encouraging them to locate their business here.”