The Scanmoor Group has been confirmed as the company which will build the new 6,000-capacity stadium in land off Dunslow Road.

When the new ground is completed, the Middlesex-based construction company will get ownership of the ground in Seamer Road, to develop for housing or sell to a housing company.

The legal covenant which ensures football is played at the McCain Stadium will not be lifted until the football club is playing at its new ground, where the same protection will be in place.

Boro chairman Malcolm Reynolds said: "This has been a hugely complicated process but all the interested parties have now agreed the way forward and contracts have been signed.

"Scanmoor will build the new stadium and there's a possibility that an offshoot company of Scanmoor will develop the ground around it.

"At this moment in time I would prefer not to mention who the developers of the McCain Stadium site will be. All of the parties concerned can now work towards pulling their plans together. I fully expect detailed planning applications for both sites to be submitted to the town hall in September.

"It's been a much longer and more complicated process than people could ever imagine and we have only got one chance to get it right.

"If this was simply a case of building a new stadium costing £2 million, that would have been complicated enough.

"The total investment in these two sites will be more like £20 million and we only had the one chance. We are probably looking at February 2006 before any building work can start."

Gordon Somerville, Scarborough Council's head of planning, said: "The council and the football club have had discussions about the club's ambitions, the process of redeveloping the McCain Stadium site and the building of a new stadium at Eastfield.

"However we have not had any discussions with any developers. Now that the club appear to have signed an agreement, I look forward to starting discussions with the club's developers. A lot of work will need to be done before any planning application is submitted."

Boro director Ian Scobie is confident of moving into the new ground at Eastfield in time for next season.

He said: "Once the work starts on the new stadium it will be operational after three months so we are confident it will be ready for next season.

"However if there were any problems, we would still have the right to occupy the McCain Stadium until the new ground is ready."

The name of the new ground is still uncertain. Mr Scobie said: "McCain have been excellent backers but we don't know yet if they will continue with their sponsorship of the ground so we would have to look at a new name, whether it be a sponsor or not.

"The new ground should be a real boost for the town and we are looking forward to our future there."