Campaigners who want to see the former bingo hall in Crystal Palace become a cinema said they are "delighted" the church that owns the site will not appeal the council decision to turn down its application to open a place of worship there.

Kingsway International Christian Centre (KICC) confirmed today in a statement it would not be challenging Bromley Council's decision to refuse the change from D2 community use because it does not want to be seen as "fighting" the very community it wanted to serve.

Annabel Sidney, who heads up the Picture Palace Campaign (PPC), said: "PCC is delighted to learn that the KICC does not intend to appeal and has finally acknowledged that the local wishes and views of 3,500 residents who objected to the change of use application, and the views of Bromley, Croydon and Lambeth councils should be respected.

"We also welcome KICC's further indication that the church is now considering a variety of building use options that will most benefit the whole community.

"We now expect KICC to follow up on this commitment by entering into meaningful dialogue which will lead to action which reflects the interests and concerns of the whole community, rather than a particular group.

"The PPC wishes to work with KICC to find a mutually acceptable outcome but one which also clearly recognises that 25 Church Road should only be used for permissible activities which contribute to the cultural and economic regeneration of 25 Church Road and the town centre.

"We hope that KICC will now respect the fact that the building's D2 classification will only allow for permissible uses such as a cinema, concert hall, bingo hall or casino, or dance hall.

"Our ambition to develop a professional run cinema to provide a sorely needed cultural resource for the whole community is shared by others.

"Almost 7,000 members of the local community signed our petition supporting our campaign which is also being followed by facebook groups with over 6,000 members from across the world.

"The UK's leading independent cinema provider has confirmed interest in the site and we would hope that KICC will enter into discussions with them."

KICC released a statement earlier today, on the deadline day for a decision on whether or not it would be appealing the planning decision made by Bromley Council on December 17 last year Its statement read: "Kingsway International Christian Centre (KICC) is now able to confirm it will not be lodging an appeal against the planning decision taken on December 17, 2009, regarding 25, Church Road, Crystal Palace.

"Contrary to recent press speculation, KICC’s planning consultants had advised that KICC stood a very good chance of lodging a successful appeal. However, KICC does not wish to be seen as “fighting” the very community that it wishes to serve.

"It was always in KICC’s plans for the building to have a large element of community use in any seven days (as anyone who has studied the original planning application can verify); the church is now considering a variety of building use options that will most benefit the whole community."

The church said it would be releasing a fuller statement in due course in terms of its plans for the building, which it was still deciding, and would consult with the community over the plans.

A KICC spokesman said: "The use will be in line with its current community use as stipulated by D2 planning use."

He said KICC would look to use it as a cinema showing family films as well as offer it for use for amateur threatre groups to put on plays, and for concerts, including Christian music.

He remained tight-lipped over how extensively it would be used by KICC for its activities.