Although U2 have lost their bid to prevent their studio in Dublin's south docklands from being demolished, the band have announced that they will stay in Dublin's Docklands.

Arrangements have been made with the Dublin Dockland's Development Authority to move to a new building.

U2 said details of the development would be announced in the next few weeks.

An Bord Pleanála gave the go-ahead for the contentious Hanover Quay development earlier today.

The Dublin band have been recording at the studio since 1994. The last album that they made there was the multi-million seller 'All That You Can't Leave Behind'.

The Dublin Docklands Development Authority said that it wanted people to have access to the waterways at the quays and this required the acquisition and demolition of the row of buildings at Hanover Quay.

However at an oral hearing into the compulsory purchase order held at the Gresham Hotel last January, lawyers for the band cited multi-million record sales and musical heritage in their opposition to the development.

The band claimed they had been recording at the 400 square single storey plus mezzanine building since 1994, and prior to that were based close to the docklands at Windmill Lane.