A derelict stable block at the centre of a wrangle between residents and a property developer has been gutted by fire.

Ten firefighters fought the blaze, which police are treating as suspicious, in the two-storey building in Wilbury Grove, Hove.

The block is owned by Essam Barakat who is converting the property into mews flats.

He angered residents last week when he demolished half a Victorian tunnel, connected to the stables, which was once used by horses going to nearby fields.

He started to knock it down, claiming it was unsafe, before he was granted planning permission to convert the former stables.

Mr Barakat was advised to stop by Brighton and Hove City Council as he did not have legal authority to demolish the garden above the tunnel.

Planning permission, which includes demolition of the tunnel, has since been granted, but the garden belongs to residents and must remain untouched.

The blaze broke out early on Saturday.

Neighbour Sidney Harris, said: "The building was already derelict but it's completely gutted now.

"What is more worrying is had the fire not been discovered for another 20 minutes it could have spread to the neighbouring terraced houses. Lives could have been put at risk."

The blaze started in a former office packed with discarded items, including old beds.

The alarm was raised shortly after 3.15am and Hove fire-

fighters spent two and a half hours at the scene.

Police are investigating the cause. Mr Barakat has offered a substantial reward for information which may lead to a prosecution.

Meanwhile, residents are still trying to save what is left of the tunnel, but experts have put the repair costs at more than £80,000.

Neighbours formed a human barricade to stop bulldozers from destroying all of it.

Brunswick and Adelaide councillor Paul Elgood has written to English Heritage asking for what is left of the tunnel to be given listed status.