Construction work on a new £1m cycling facility in Rhyl, North Wales, is set to get underway after the Welsh Assembly Government agreed to contribute £500,000.

The Marsh Tracks venue will transform a former landfill site on Marsh Road and will include a road cycling track; a national standard BMX track; spectator viewing areas and event camping. A clubhouse with café, changing facilities, shop and meeting room and, storage facilities and biodiversity areas in the centre of the track and around the perimeter of the site are also proposed.

Local young people - particularly those from deprived areas - will be targeted as part of the centre's bid to provide opportunities to take up cycling at a low cost. Programmes involving local schools will also be run out of the facility. Welsh Assembly Government funding will be matched with £250,000 from both the Foundation for Sports and the Arts and Waste Recycling Environmental, as well as support from Denbighshire County Council.

Welsh deputy minister for housing and regeneration, Jocelyn Davies, said: "The Marsh Tracks North Wales Cycle Centre offers everything that a good regeneration project should. It will improve a run-down area both physically and environmentally; provide local jobs and training opportunities during and after construction; give the local community a valuable leisure facility and attract tourists to the area." John Harland, secretary at Marsh Tracks Company, added: "As a not-for-profit company we will be running a viable and vibrant facility at no profit to individuals that could be open for business before the end of 2010."