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One of the brothers behind the redevelopment of one of Islington’s most historic buildings has hit back at residents who claim the scheme is “wrong for Clerkenwell”.

Some people fear that turning the 18th-century Old Sessions House into a “social gathering point” – likely to include a mix of restaurants, a wine bar and a private members’ club – would bring “noise, traffic and crime” to Clerkenwell Green, which is a conservation area.

Work is well underway on the Grade II-listed building and the developers have applied for a licence to serve alcohol from 8am to 12.30am every day of the week, with the venue closing half an hour later.

Leora Neidle of the Clerkenwell Green Preservation Society, who is leading the fight against the application, has said around 200 people have either signed a petition or made representations to the Town Hall about the proposals.

Developer Oliver Grebelius said the aim is to make the old courthouse a “centre point” for Clerkenwell but stressed that claims they are trying to create a nightclub or alcohol-led venue were “entirely false”.

He and his brother Ted, of Satila Studios, bought the building – which has not been open to the public for 100 years – for £13.5million in 2014.

“What we are propos­ing is an historically-led reinstatement of one of London’s true diamonds in the rough,” said Mr Grebelius. “With the help of a team of some of England’s best conservation experts we are reversing the damage it endured during the 20th-century alterations by preserving and reinstating original atmospheres and architecture.”

Islington Council’s former conservation officer, Alec Forshaw, who is also a historian, has backed the plan.

The venue will be split into three sections: the ground floor, which is likely to be a public food hall; a rooftop wine bar and restaurant; and the main part of the building, which is likely to be a private members’ club.

Mr Grebelius said the kind of client they hoped to attract would be unlikely to cause trouble, but said the aim was not to create a totally exclusive venue. The Swedish brothers, who say they are “passionate” about food and wine, will turn the most impressive area of the building – the judge’s dining room – into a restaurant and wine bar which they will run themselves.

Mr Grebelius said the private members’ area would “have an operator which specialises in running such venues and nothing less than a sophisticated club with a mix of restaurants, drawing room areas, working areas and fitness areas will be considered. Again this does not have a late-night focus”.

The building sits in one of Islington’s cumulative impact zones – areas that already have a high number of licensed venues – which means there is a presumption against granting new applications.

Ms Neidle claimed the area was already “saturated” and said she was concerned about the impact of the scheme on the residential nature of the area. The Old Sessions House is opposite sheltered housing for the elderly and close to flats, a playground and a church.

Clerkenwell councillor Raphael Andrews said the developers did not understand the area.

“This is inappropriate for Clerkenwell – we’re not Soho,” he added.

George Davenport, who lives on the Clerkenwell Green estate, said: “The developers aren’t listening to local residents – it’s too big, too disruptive and wrong for Clerkenwell.”

Mr Grebelius added: “We will employ a robust management plan and noise remedial measures and 90 per cent of the building will exit towards Farringdon station for easy access to transporta­tion – away from residential buildings. We are extremely confident it will become an amazing, positive contribution to the area and once again let the public into a landmark building that has been locked away for over 100 years.”

A Town Hall committee will make a decision on the licensing application on May 24.