The council ruled the developer, Edinburgh-based Festival Inns, had not provided sufficient evidence to support its claim the Albert Hotel in North Queensferry was no longer viable as a business.

Festival Inns withdrew its original proposal running into over 100 objections, and returned with a new proposal in December 2021 for one two-bedroomed flat and three flats with three bedrooms.

However, the development continued to face considerable opposition in the local community, The Scotsman reports.

The property, located on Main Street, is located in the centre of North Queensferry’s conservation area, and the community argued it could still have a bright future as a tourist attraction, despite being closed for the past four years.

The building has declined in recent years and while structurally sound, according to a report to the committee, could be “potentially dangerous”.

Festival Inns argued it was no longer viable to run as a hotel, and needed substantial investment.

It stated: “With the minimal income from local trade and the year-on-year decline of any significant hotel trade, the operation of the property as a hotel with bar and dining facilities is not economically viable and that any investment would be better utilised in the redevelopment of the property for the residential market.”

A report to the council’s committee reads: “It is considered that insufficient evidence has been submitted that demonstrates that the use of the premises as a licensed hotel business is not viable.

“It is also considered that insufficient evidence has been submitted that demonstrates the property and business has been actively marketed for a period of 18 months at a fair market value. The principle of the proposed change of use is therefore not acceptable.”

Officers also told the committee there were no accounts submitted for the former operator, noting: “It was let to various tenants and its use as a hotel has ceased, but that does not evidence the fact the use as a hotel is not viable.

“There are issues around the valuation of the building. It has deteriorated in condition and the valuation is going back to full survey.

“We are not satisfied the evidence is really there that it is not viable.”

The committee refused permission for the change of use. It also rejected a subsequent application to carry out internal and external alterations to the flats.

Mary Stewart, service manager told the committee: “The proposal would also involve external alterations which would have a detrimental impact on the character of the listed building. The loss of the painted signage would have considerable impact on the building.”