Planners have rejected a bid to build 20 homes and 12 glamping pods at the former Nidd Valley Saw Mills.
Wakefield-based Milner Homes submitted plans to redevelop the former mill alongside the River Nidd at Dacre Banks.
The mill was sold to the developer in 2020 after its former owner retired.
Milner Homes, planned to convert the mill into five homes, and build a further 15 two to four-bedrooms homes, as well as a dozen glamping pods.
It said the proposal, submitted last year, would “create a distinctive residential development which is sympathetically designed to respect the surrounding built and natural environment” and “promote sustainable tourism”.
But North Yorkshire Council refused the application this week.

The housing and glamping pod scheme as outlined for the Nidd Valley Saw Mills site.
Trevor Watson, assistant director of planning, listed nine reasons for refusal.
He said “no exceptional circumstances” for the scheme, which is outside the Harrogate district Local Plan 2014-35 for development, had been demonstrated.
Other reasons included “a significant, adverse landscape and visual effect upon the landscape and scenic beauty of the Area of Outstanding Natural Beauty”, “insufficient evidence that the continued use of the site for employment purposes is not feasible or viable” and flood concerns.
Mr Watson added:
“The proposed layout creates a scheme that is of poor quality, does not create a safe and accessible environment or reflect the principles of good, sustainable layout design.”
Hartwith cum Winsley Parish Council objected because the application was outside the local plan boundary and also because of highways and noise concerns.
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Plan to convert former River Nidd mill into housing
Plans have been lodged to convert the former Nidd Valley Saw Mills into housing and build a further 15 homes.
The proposal has been tabled by Wakefield-based Milner Homes for the former mill, which is based next to the River Nidd near Dacre Banks.
The mill was sold to the developer in 2020 after its former owner retired.
Now, Milner Homes plans to convert the mill into five homes, and build a further 15 houses consisting of two to four bedrooms.
It also proposes to build 12 glamping pods on the site.

The housing and glamping pod scheme as outlined for the Nidd Valley Saw Mills site.
The developer said in documents submitted to Harrogate Borough Council that it intends to build both a sustainable residential and tourist development.
It said:
“The proposal will create a distinctive residential development which is sympathetically designed to respect the surrounding built and natural environment.
“Housing will compromise a mix of two to four bedroom houses, to create a sustainable and mixed community.
“The site provides a leisure use in the form of camping pods which seeks to promote sustainable tourism and leisure whilst respecting the character of the Area Of Outstanding Natural Beauty.”
Harrogate Borough Council will make a decision on the plan at a later date.
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