Dundee is to get its first five-star hotel with the transformation of the former Customs House and Harbour Chambers into a luxury, 38-bedroom property.
Located in the heart of the city's £1b Waterfront regeneration area close to the proposed new V&A Museum, the Grade A listed, Georgian property was formerly occupied by the Dundee Port Authority's headquarters.
Prestige Hotel Management, owner of the Barony Castle Hotel & Spa, near Peebles, will operate the hotel, which is set to open in autumn 2014.
Mike Galloway, Dundee's city development director, said that it was rewarding that so many hotels are making significant investments in the city and playing a vital role in the regeneration of the Waterfront area. "The new hotels are well timed in advance of a variety of major tourism and infrastructure developments in the city, the largest of which is the new V&A at Dundee, on which work will start later this year."
Dundee Waterfront, which covers 240 hectares of land along 8km of the River Tay, is the second largest regeneration project in Scotland and within top 20 such projects in the UK. More than 9,000 new jobs are forecast to be created as a result of the investment in the city, with the V&A attracting 500,000 new visitors during its first year.