German-based Aldi has submitted plans for a store on the site of the old MFI in Drove Road.
On Tuesday, the town council's planning committee said it would bring a part of Newhaven back into use.
Cllr Rod Main said: 'It looks quite a good app
lication. There does not seem to have been any objections received.
'This would be a good opportunity to have a new retail development which would bring back two units which have, as far as the public is concerned, been out of use for 10 years or so.'
The proposal follows an application in 2003 when Lidl, a similar supermarket chain, applied to build at the Old Foundry site in New Road.
Lidl's bid was turned down on appeal because it was in conflict with the local plan.
At the time there were fears a low cost supermarket could jeopardise Somerfield's position in the town centre.
But councillors felt the new proposal was more positive. Cllr Pat Ost said: 'The original MFI building has stood empty for a long time. It was then used by Parker Pen but externally it looked like a derelict building.'
Lewes District Council's planning committee will make the final decision.
The full article contains 223 words and appears in Sussex Express Series newspaper.