Developers CAF Properties want to transform the 18th century Woolmanhill Hospital into a hotel and residential complex including 27 serviced apartments, 32 residential apartments and 10 affordable flats.

The scheme will involve four of the buildings on the Victorian site, which was the location of the city’s first royal infirmary when it opened in 1749.

The Grade A-listed Simpson Pavilion on Skene Street would be turned into a hotel, while the Stephen and Victoria buildings could be converted into serviced apartments. A central square would also be created.

CAF Properties said a planning application would be made jointly with NHS Grampian as the current owners of the site. Most of the hospital was shut down three years ago to help NHS Grampian cut a £160m repair bill backlog.

The hotel and serviced apartments would be owned and run by Glasgow-based leisure operator G1 Group.

Subject to planning consent, CAF expects redevelopment work to start on the site in the middle of next year, with completion scheduled for 2019.