Crieff-based construction firm Corryard was given permission to create 17 properties and one house at Blairgowrie’s Hill Primary after a bid to turn it into a community hub failed.

The community-led Ericht Trust had been working on its own plan for the school for several years and had hoped to convert the prominent building into a multi-million-pound heritage and culture hub, complete with cinema and cafe.

The trust committed about 3,000 hours to the project and raised £60,000. The £4.8 million plan had won the backing of, amongst others, SSE and the Architectural Heritage Fund.

Council officials said Corryard’s bid featured a better business plan and the company’s finances were assured.

Under the approved plans, the main building will be converted into 11 flats and a single house, while the more modern infant school will be turned into five flats. The canteen building will be demolished.

The housing plans have been backed by Historic Environment Scotland, but the watchdog expressed some reservations about the original proposed design as it included glass balconies.

In a letter to Perth and Kinross Council, it said: “We welcome this scheme, which would secure a positive future for the 1878 category B listed Hill Primary School and we are content with the principle of what is proposed.

“Our view is that the character of the principal elevation of the 1878 building should be protected as far as possible. The proposed glazed balconies on this elevation, in our view, detract from this character and should preferably be omitted from the scheme.”

The plan has since been approved with the original frontage largely retained.