Edinburgh: Old bank HQ tipped to be luxury hotel
February 7th, 2007 - Category: Hotel, Real EstateA BANKING giant’s former headquarters in Edinburgh city centre is set to be turned into a new five-star hotel, it emerged today.
Several operators are believed to be lining up bids for Royal Bank of Scotland’s old head offices on St Andrew Square.
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The A-listed building, which has just gone on the market, is regarded as one of the best potential hotel sites to go up for grabs in the Capital for years.
Two linked sites at St Andrew Square and West Register Street have been put up for a sale by a property investment firm linked to the real estate fund Morgan Stanley, which bought a huge UK-wide portfolio of property from RBS last year for £250 million.
The move to put them up for sale, at offers over £10m, is expected to trigger a major bidding war, with developers behind possible residential or retail schemes expected to be in contention.
City council leader Ewan Aitken today backed a retail development as his preferred option for the high-profile space.
Experts say it would cost at least another £10m to transform 42 St Andrew Square, which dates back to 1942, into a top-class hotel.
The combination of its location, just a few doors along from the Harvey Nichols department store and Multrees Walk, and its grade-A listing is expected to heighten its appeal.
The St Andrew Square site is linked via a bridge over West Register Street to empty former RBS offices and two shop units, which are currently home to a bakery and a cafe.
The building at 42 St Andrew Square was built for the bank and remained its head office until 2006 when RBS opened its new global HQ at Gogarburn.
Source: news.scotsman.com
