I'm sure far more dilapidated buildings have been renovated for similar cause. This scheme looks thoroughly unimaginative and I don't understand the thinking behind knocking that building down and then having a damn car park fronting onto the street, while two large apartment buildings are stuck at the back completely overlooking existing residents homes.
It also seems a real shame that the (former retail?) units fronting the top of Market St can't be brought back into that use. There will surely be demand at some point, as local centres seem to flourish with independents and cafes (great location just down from the canal too). Even if they were demolished and this end of the centre given a mini supermarket it would be better and help to gently expand the retail centre and provide some choice.
Having a bland apartment building looking down Market St and a car park in place of that characterful piece of history seems a poor aspiration.
When the shop on the right as you look at them from Market Street and which was a sweet shop called "The Bon Bon" closed and came up for sale, I remember my father (who at the time, was a big(gish) bug in the then Chamber of Trade) commenting that it would be difficult to sell it as a shop as there was a covenant on the property which restricted its use as a retail outlet. I was only in my teens so I can't remember the details but doubtless someone else knows.
Further to Market Street, I sat outside "All Things Nice", having coffee, a week or so ago and it struck me how tatty Market Street was looking with cheap-looking shop fronts (with a few exceptions). The general appearance of the street doesn't look exactly inviting to shoppers who don't know the area very well.
I found it quite sad.