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SULLY Hospital's uncertain future has taken another controversial twist.
Plans to turn the 1930s art deco building into a multi-million pound flats complex have been delayed.
Negotiations between developers and owners Cardiff and Vale NHS Trust were rumoured to have been stalled following an inspection by the group in September 2002.
During the site visit, the group upped the Grade 2 listed building to Grade 2*. But, this change in status will not affect the planning application.
Cadw spokesman Rhodri Owen said: "Going from Grade 2 to Grade 2* will not slow any applications to the planning authority. Attention to finer details would have to have been included even in the lower grading."
Stephen Harries, development director with the Cardiff and Vale NHS Trust said: "A lot more work is required and we are working with the preferred bidder, who is still committed to the scheme."
Mr Harries stressed that if the developer decides costs are too high, they lose a six-figure 'deposit'.
Vale MP John Smith also joined the debate.
Speaking in support of Cadw, he said; "Whatever happens at Sully, the retention of the facade to this historic and unique building is important."
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