Environment Minister Mark H Durkan has recommended planning approval for a £12m conversion that will transform the iconic Scottish Mutual Building in Belfast.

Listed building consent has also been approved to sympathetically convert the Grade B1 Listed Building into a boutique hotel opposite the City Hall.

The prominent listed building, in Donegall Square, is within the Linen Conservation Area, meaning that it is within an area that played an important role when Belfast was the established linen capital of the world. The building is more than 100 years old, dating back to 1904. Currently it is partially occupied.

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Plans retain all of the original features. There will be two bars and two restaurants on the ground and first floors and 40 hotel bedrooms and 10 serviced apartments on the upper three floors.

Mr Durkan said: "This is welcome news for Belfast City Centre. The significant investment demonstrates a confidence in the local economy. This boutique style accommodation will boost tourism by enhancing the choice for tourists, business travellers and local people.

"The plans to convert this beautiful building sympathetically will restore it to full use and ensure that it remains an historic landmark within the Linen Conservation Area of Belfast City Centre. The work will also bring construction jobs in the short term and full and part time jobs when up and running."

(CD/JP)