A proposal to redevelop the former Kmart Plaza on Western Avenue in Augusta took a step forward this week.

The Planning Board voted 8-0 Tuesday to send a recommendation to City Council that developer George Campbell be permitted to exceed height and density restrictions.

Campbell is proposing to work with others to build a hotel, apartments and retail space on the site that’s not far from the State House. He told the board once he has permission to build up to eight stories high, it will help him “attract the best developers.”

He and others emphasized that at this phase, his proposal is a concept that will require additional review by the Planning Board. At this point, he’s thinking the project will support 50 market rate apartments and he said he’s in talks with three developers interested in building a hotel and retail complex.

“To have a site like this this close to the capitol, I think gives us a real chance to attract developers,” he said.

The property currently offers a few businesses, including a temporary Halloween store, laundromat, Rent-A-Center and firearms shop. There are at least half a dozen empty store fronts and lots of empty parking spaces.

Matt Nazar, Augusta’s director of development services, said the plaza was the city’s first strip mall when it was built in the early 1960s. For the last dozen years, the city has considered it a top redevelopment priority.

“It’s a building that’s in need of substantial upgrade or removal,” he said.

The request to exceed height and density requirements will now head to the City Council in the coming weeks for consideration. Two council members testified in favor of the proposal during Tuesday’s meeting.

“For the city, it’s one of the spots that’s quite an eyesore,” said Councilor Kevin Judkins. “This is a betterment of Western Avenue. This is a betterment of the city as a whole.”