IT looks as if ambitious plans to establish a rehabilitation centre for injured armed services personnel in the Swansea Valley have been defeated.
Gwalia bought the Clydach War Memorial Hospital in April 2013, following the disposal of the site by Abertawe Bro Morgannwg University Health Board.
Clydach Community Council wanted to turn its now defunct War Memorial Hospital into Wales's first dedicated centre of its kind but its campaign looks to have fallen short.
The scheme was dependent on funding from the Armed Forces Covenant Fund but an application was turned down last year because the business plan did not contain sufficient information.
A spokeswoman for the housing association said: "Plans will be submitted to Swansea Council later this year for the proposals of a mix of bungalows, houses and flats. There are also ongoing discussions with armed services charities to deliver a support service to former service personnel.
"The proposals for the Clydach Hospital site have been shaped by ABMU as well as other partner organisations. Gwalia is mindful how important this building is to local people and hopes plans meet with their approval. In working in partnership, this will ensure the redevelopment builds on the spirit of the memorial and represents a living tribute to veterans.
"The existing hospital building with its historic frontage and war memorial will be retained and upgraded. The war memorial will still be accessible to the public."
Clydach councillor Peter Morgan said: "Gwalia has been excellent but this is wearing thin. The people of Clydach are very passionate about our hospital. We asked the community and that's what they wanted; a rehabilitation centre."
Councillor Julie Davies added: "I think it's extremely important that the war memorial hospital is used for the purpose it was constructed."