Former council offices are set to become a hotel in the latest phase of town centre redevelopment in Middlesbrough.
The proposed sale and conversion of Vancouver House builds on a growing sense of confidence across the town.
Middlesbrough Council’s Executive Sub Committee for Property considered a proposals to dispose of the Gurney Street office block.
Members also considered proposals for the building to be turned into either student or residential accommodation.
Vancouver House is a seven-storey building with just over 92,000 sq ft of floor space, comprising a basement and six upper floors of predominantly open plan office accommodation.
The building has been home to a number of council departments, but was placed on the market after it became surplus to requirements.
Councillor Nicky Walker, Middlesbrough Council’s Executive Member for Finance and Governance, said: “Capital receipt is just one of a number of factors we take into consideration when disposing of assets such as Vancouver House.
“The committee was agreed that the proposed hotel development would complement the existing offer in the town centre, and further build on the developments that are taking place across the town at the moment.
“This is yet another indication of the growing confidence of business and enterprise that Middlesbrough is a great place to invest.”