An Edinburgh office building is to be transformed into serviced apartments in a £6 million refurbishment backed by transport tycoon Ann Gloag.

Gloag Investments, of which Ms Gloag is a director, has teamed up with Valad Europe, part of the global Cromwell Property Group, to purchase the vacant office at Kintore House in Queen Street.

The office has been vacant for more than seven years and refurbishment works will begin in March after a planning application was submitted in November.

Formerly occupied by energy industry analysts Wood Mackenzie, the offices were purchased from Lonestar and Hudson for £6.3m by Gloag Serviced Apartments Limited.

The property will be operated by serviced apartment group BridgeStreet Global Hospitality, under its Mode brand.

The Edinburgh aparthotel, set to open its doors in spring 2018, follows openings of this new brand in Paris and Washington and will comprise 82 apartments over four floors.

Ms Gloag said: “We are delighted to be bringing BridgeStreet to the capital in what will be their first bespoke building in Scotland. We are also looking forward to playing our part in helping to refurbish Kintore House and regenerate what until now has been a relatively unloved corner on one of the New Town’s finest streets.”

Simon Marriott, head of investments and UK real estate at Valad Europe, said the building has the ability to generate attractive ongoing income.

“As part of its global roll-out of the Mode brand, Bridgestreet is identifying quality buildings in key gateway cities to convert them into stylish apartment style accommodation,” he said.