HUNDREDS of jobs are to be created in Hythe after regional development agency SEEDA snapped up the former military base there.

The 17-acre former RAF Hythe site is set to disappear beneath a new marine business centre taking advantage of the base's specialist facilities and employing at least 200.

The news was welcomed by local politicians and residents who had warned against any plan to build hundreds of homes on the old US military site.

SEEDA, a Government funded organisation, said it was too early to say how much it was paying for the land because the information was "commercially sensitive", even though the seller is Defence Estates, another Government Agency.

The decision to close the American base on the RAF site at Hythe was a big blow to the village. More than 200 skilled jobs were lost and local shops lost trade.

SEEDA claims the new development will create "at least as many jobs" as the 200 that were lost.

A number of marine industry companies are thought to have expressed strong interest in the site, which the US military invested in heavily. Facilities there enable a number of boats to be brought out of the water at the same time for service and repairs.

It's another boost for the region's marine industry, which is also set to benefit from a £30m scheme on part of the old VT site in Woolston and new facilities in Marchwood.

District councillor Maureen Robinson said: "The opportunity to work with successful businesses in revitalising this site has been really exciting. Let us hope that it will result in more local jobs for local people."County councillor Brian Dash said: "This is a successful outcome of co-operation and support from all levels of Local Government.

"I hope that, in addition to skilled jobs there will be corresponding training opportunities for some of our young people."

Jonathan Williams, chief executive of Marine South East, a consortium of companies involved in the marine sector, said: "We are delighted to see this superb waterfront site safeguarded for marine employment and wealth creation. We know from our work with marine companies that there is an expanding need for first class marine facilities to support business growth."

SEEDA's development projects director Peter Cusdin, said: "SEEDA is keen to see the site retained for marine employment purposes and brought back into use as soon as possible. We have had interest from potential occupiers for parts of the site and will be working with Marine South East to optimise its future potential for the marine industry."