Council planners have recommended plans for a new £5.4 million Next megastore in Dundee are rejected for a second time.
Next wants the go-ahead to build a massive new store at Kingsway West.
A previous bid by the company was rejected in 2013 and councillors have now been urged to kibosh the plans for a second time over fears it would harm trade in the city centre.
Crucially, Next wants Dundee City Council to relax restrictions on the sale of fashion goods at the new store.
Outlets in the retail park are forbidden from sell clothes or shoes in case they take business from the city centre.
But a report to go before members of Dundee City Council’s city development committee on Monday recommends councillors reject the plans.
Council officers say Next’s plans contravene policy seven of the Tayplan Strategic Development Plan drawn up in 2012, which restricts the sale of goods at retail parks to protect the town centre, and policy 24 of the city’s local development plan regarding the location of new retail developments.
The report states Next estimates the store would draw £1.83 million of trade from its city centre premises in the Overgate Centre and at Gallagher Retail Park.
It added: “Such a scenario would have a significant damaging impact on the vitality and viability of the city centre and district centres.
“This would be particularly unacceptable at a time where it is noted that vacancy rates in Dundee city centre are higher than the Scottish average.
“In addition, members should not that should Next occupy the unit, it is their intention to close the Next store at Gallagher Retail Park where clothing and footwear may be sold.”
The Tesco supermarket at Kingsway West does sell clothes and shoes, but only has a limited amount of space where it is allowed to sell non-food items. It is also not regarded as a “main flagship clothing and footwear shopping destination.”
Council officers also warns the development would “exacerbate” traffic issues at the retail park’s Clepington Road junction.
Next claims its proposed new store would create 125 jobs and said it would keep its Overgate store open until at least 2024 if given the green light.
The new store would expand into the premises currently occupied by Maplin.
But the report to councillors concludes: “Whilst the development would likely result in investment and the creation of additional jobs at the retail park, and this weighs in favour of the development, the nature of the store proposed would lead to such a damaging impact on the city centre, district centres and commercial centres that the economic benefits would not justify a departure from the development plan.”
Dundee Civic Trust lodged a formal objection to the proposal over concerns about its impact on the city centre.