Structured House Group has been granted planning permission for a £20million project to build two hotels on the site of a former furniture warehouse in Dundee, creating up to 300 new jobs.

The B-listed Wilson House on Barrack Street is to be demolished and replaced with two separate hotels and a bespoke, licensed restaurant under SHG’s Boho brand.

The developer has agreed to retain the 1930s art deco façade of the former Robertson’s House Furnishers warehouse which will be converted into a 115-room, three-star hotel overlooking the Howff, with a 300m sq ground floor restaurant.

A newly-built, 110-room, four-star hotel will be located in neighbouring Willison Street to meet a growing demand for hotel rooms in the city.

Work on the project is due to start in July with a completion date set for October 2019.

The Glasgow-based developer had originally intended to use the site, which has lain derelict for the past six years, to meet a burgeoning demand for student accommodation in the city.

Following representations from the local community council and members of the public, the company has agreed to alter its plans to retain the front of the B-listed building that housed the furniture store for 130 years.

An amended application, submitted to city planners earlier this year, was given the go-ahead last week.

Craig Inglis, chief executive of SHG, said the development would build on Dundee’s reputation for attractive, modern architecture as well as representing an economic boost for the city.

“We’re delighted that this exciting new project has been approved. It will create up to 300 new jobs and will enhance Dundee’s growing status as a tourism and business destination.

“We have worked with city council planners on our design for the past two years to create a plan that will retain the building’s iconic facade and four levels of the shop’s front.

“Our amended plan aims to retain as much of the character and charm of the building as possible but to put it back into use so that it can contribute to the economic vibrancy of the city.”

“Everyone respects this fine building but no-one wants to see it lie dormant any longer. Our proposal will give it back its dignity help it to continue its part in the city’s growth.”

City development convener, Councillor Lynne Short, said she was delighted the development was given the nod and that the developers would retain the iconic exterior.

She said: “I was involved in discussions with the community group who were keen on keeping the façade as intact as possible.

“I am delighted about the council’s decision and delighted this distinctive piece of Art Deco architecture is going to be maintained.

“The officers and the developers were keen to work together and I understand they are also keen for further work on projects and investing in developments on the waterfront.”

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