The proposed seven-screen complex will be run by Odeon and on the same site where the cinema was demolished in 2008.
Three objections were made against the plans by Ocean Terminal, Cameron Toll and the Omni Centre.
On hearing the decision to proceed with the project, Robin Holder, a planning consultant for Ocean Terminal, said: "What's good for Fort Kinnaird will be bad for other centres in Edinburgh.
-- Advertisement --
"Some of these centres are in key regeneration areas such as Leith, Wester Hailes and the city centre itself. Trade in these areas will be displaced, inevitably leading to the loss of jobs.
"Even the applicants agreed that 90 per cent of the cinema’s trade would be displaced from other venues. There will be no net benefit to the city."
However, Edinburgh City Council Planning Chief Councillor Ian Perry, said the committee did not feel the commercial impact on rival retail centres was "significant" enough to refuse the application.
The seven-screen multiplex is expected to attract 46,000 customers per year.
(JP)
