A tented village of Fringe venues is to be created on the site of Edinburgh’s old Gilded Balloon.

The so-called ‘gap site’ has remained derelict since it was destroyed by fire in December 2002.

Now the man behind the festival’s C Venues has struck a deal to use the site this August for what has been hailed as a ‘major fringe venue’.

As well as performance spaces the, the SoCo development will also include temporary cafes and bars.

C Venues impresario Hartley Kemp said: ‘We're excited to have this opportunity to realise a truly comprehensive theatre complex in the centre of Edinburgh.

‘C venues looks forward realising the performance potential of this site, and to acknowledging the cultural history of the area at this year's Fringe.’

Controversial promoter Thomas McAleer previously planned tented venues on the site but it failed after his comedy club venture collapsed, leaving comics thousands of pounds out of pockets.

Ultimately, the old Gilded Balloon site will be home to a 140-room luxury hotel, a new cultural centre, shops, bars and restaurants under a planned £40 million scheme.