Chelsea's new owners have received a boost in their plans to redevelop Stamford Bridge.

The Daily Mail says Housing association Stoll, which provides 157 supported homes for armed services veterans next to the Chelsea ground, has formally proposed plans to sell off land as it reduces capacity to 'at least 50 new and refurbished flats'.

Consultation with veterans started this month in a bid to thrash out the best way forward and a final decision is expected by August.

A letter to residents, seen by the Mail on Sunday, said: "The charity's trustees propose to redevelop the scheme in Fulham and to sell the remainder of the site. Following resident consultation, the trustees will decide the best way forward informed by your contribution to this consultation."

The proposed development is a huge boost to Chelsea's incoming ownership consortium.

Chelsea's expansion plans are hampered as Stamford Bridge is tightly hemmed in by surrounding buildings and railway lines.