Dunnes Stores yesterday expressed confidence that An Bord Pleanala would overturn a decision by Cork County Council and grant planning permission for a £30 million project which the company described as "its flagship store for the millennium".

Cork County Council has refused outline planning permission for the 19-acre Cork Gateway development at Dunkettle adjacent to the soon-to-be-opened £66 million Lee Tunnel. But Dunnes Stores contends the project is in line with the County Development Plan.

Dunnes Stores pointed out that the Dunkettle site - with an employment projection of 800 - was specifically zoned for commercial development including retail development by Cork County councillors in the 1996 County Development Plan.

"It will give Dunnes Stores a prime positioning for visitors to Cork and a base from which to serve the east Cork area which has been identified as an area in need of further retail development," Dunnes Stores said in a statement.

The centre will be designed to include motorway facilities such a petrol filling station, restaurant and hotel accommodation. Dunnes Stores said it would be ideally located to take advantage of Cork's future development.

"The opening of the Lee Tunnel will make it the last major shopping, leisure and catering opportunity for traffic heading towards south and west Cork. The tunnel will also ease access to the city from the east Cork region which should result in a growth in residential development in that area over the next decade," the company said.

In view of its significance to the company and its business in the region, Dunnes Stores will undertake the development of the Dunkettle site itself for the first time ever.

Dunnes Stores, which began operating in Patrick Street in Cork in 1944, now has seven stores in the region, employing 1,500 people. The new store would employ 400 more, with a further 400 finding work in smaller retail units and leisure facilities which are also planned for the site.

"Dunnes Stores considers it particularly appropriate that it will be the first retailer to bring the leading edge of retailing for the 21st century to the company's original home and it intends to pursue the completion of this project as a priority," it said.