Olive trees will make the three-hour journey from Murgon to Brisbane as part of Clovely Estate's bold plans for the regeneration and redevelopment of Red Hill's historic skate arena.

The burnt out shell of the heritage-listed former theatre could be transformed into a function centre, units, olive grove, and commercial space bringing the cellar door to the city.

Neighbourhood Planning and Development chair Amanda Cooper said the application was made in August for partial demolition and construction of a mixed use development.

"It's exactly what we want to see, reuse of a heritage space and making it obviously more functional," Cr Cooper said.

"It's such a high profile area.

"We are keen to try and preserve the roof line ... but to make it workable they would probably have to do some structural work to underpin it."

The building was originally built in the 1920s and converted to the skate arena in the 1960s, but was badly damaged in a fire in 2002.

Heritage components of the building including the brick perimeter, an awning on Enoggera Tce and a terrazzo floor will be incorporated in the redesign of the building.

The development application is in its early stages but could be approved next year.

Originally published as New life for Red Hill skate arena