The site to be redeveloped is near the existing White Rose Centre

The consultants' report said dated shops, bad planning and damaging media coverage has prevented the town from being seen as a vibrant retail centre.

They recommend a three-acre site between High Street, West Parade, Queen Street and Sussex Street should include a 40,000sqft new department store.

Denbighshire Cabinet councillors are to receive the proposals on Tuesday.

The study proposes two options, each generating around 175,000sq ft of floor space.

The report, by consultants King Sturge, said: "The perception of Rhyl as retail centre is poor, with perceived high crime rates and socioeconomic deprivation.

"Lack of investment, poor design and damaging media publicity has not helped promote Rhyl.

'Confidence'

"A lack of modern retailing space has restricted the attractiveness of the town to both represented retailers seeking to expand and underrepresented retailers seeking to come into the town.

"To do nothing is unacceptable, as it is essential for confidence to ensure the market is aware that a redevelopment is being brought forward."

However, the study points to "recent signs of improved confidence" with new investment in housing development as well as other retail plans.

It said out-of-town proposals for Rhyl, including the Ocean Plaza scheme for the West End, should not be allowed to detract from plans to revamp the town centre.