Eight fire engines tackle Baffito's blaze at Preston Docks
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Around 30 firefighters from across Preston and South Ribble rushed to the burning building in Navigation Way at 12.05am.
Lancashire Fire and Rescue Service said fire crews have spent most of the night at the scene, and are continuing to extinguish the fire as dawn breaks.
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Hide AdTwo aerial ladder platforms were used to tackle the fire, which has gutted parts of the restaurant and destroyed its roof.
Lancashire Police has been called to assist with the investigation, with the cause believed to be suspicious.
The force said there is "no update at this stage, but the investigation is on-going".
No injuries have been reported.
A fire service spokesman said: "Eight fire engines and two aerial ladder platforms were called to a fire involving derelict restaurant on Navigation Way, Preston at 12.06am.
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Hide Ad"Firefighters have been using two jets to bring the fire under control.
"Firefighters will be sending most of the night at the scene of the fire, they will continue to extinguish the fire and make the scene safe."
Twelve months since Baffito's closed its doors, the site had fallen into disrepair after being plagued by vandals and antisocial behaviour.
It was recently revealed that the former restaurant site at Preston Docks might be turned into a care home, after Preston Council decided to sell off its interest in the site.
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Hide AdYou can see pictures of how the derelict Italian restaurant had looked prior to the fire in our picture gallery here.
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