PLANS to convert the Albert Hotel in North Queensferry into four flats have been refused by the Scottish Government.

Festival Inns argued that the existing use of the property was no longer viable but Fife Council disagreed and refused planning permission in August.

The Edinburgh-based owners tabled an appeal but this has now been dismissed, which could open the doors for a group of local investors to buy the old hotel and re-open it as a pub and restaurant.

Local councillor David Barratt said: "This is a welcome decision and provides some hope that the building and use might yet be preserved.

"As I've said before, there is no reason other than through poor stewardship and management of this beautiful building that it could not be a successful venue serving villagers and visitors alike.

"If the current owner can't make a success of it, they should sell the building and let those with the required skills and interest take it on."

Iain Mitchell, chair of North Queensferry Community Council, said: "We are very pleased that the appeal has been turned down.

"It now clears the way for sensible discussions with the owners on securing the future for the Albert."

As reported previously by the Press, a consortium from the village are keen to buy the property and prevent it being turned into flats.

Mr Mitchell added: "There's a period during which we can negotiate with the owners and hopefully reach a deal but, if not, six months from the date of the original request it's possible to proceed with a formal application for a community buy-out.

"It would be easier if we could negotiate a deal but we do have that fall-back option."

The historic hotel on Main Street, which dates back to 1824, enjoys a prominent position next to the Forth Bridge but it has been closed and boarded up for four years.

Festival Inns applied for a change of use so they could convert the C-listed building into flats but this was met with 133 letters of objection.

Fife Council's west and central planning committee rejected the application and last week the owners discovered their appeal to the Government had failed.

Reporter Philip McLean, from the planning and environmental appeals division, wrote: "I consider the appellant’s evidence falls far short of demonstrating that the continued use of the building for its established commercial use is unviable."

He said he was not satisfied that the property had been "adequately marketed" and that it was "unclear" why the hotel had not been placed on the open market at any time.

Mr McLean noted that the community council obtained their own valuation of the property – on behalf of a consortium of prospective investors from the village – in February 2019.

It was undertaken by the same firm of chartered surveyors that Festival Inns used for their valuation in 2016.

The firm said the hotel was worth just over half of the owners' asking price and a subsequent verbal offer from the consortium in April 2019 was rejected.

A further written offer was made in August 2021, on the basis of retaining the building as a pub and restaurant, but the group did not receive a response.

The reporter noted that "no explanation for this has been advanced by the appellant".

North Queensferry Community Trust had accused the owners previously of demanding an "unrealistic" price.

Mr McLean continued: "The most recent valuation confirms a value little more than half the asking price.

"It thus appears to me that the appellant’s desired sale price may be significantly at odds with the current market reality.

"The simple fact a property’s value may have decreased does not in itself mean its established use is unviable, nor does the fact its value might be higher if consent for an alternative use could be secured.

"Furthermore, it is apparent there is a party interested in purchasing the building to retain its current use, based on a price that is broadly comparable to the most recent available valuation."

He said the planned alterations would harm the character of the listed building and conservation area and that a change of use would be contrary to council policy as the property remained a "valuable cultural, tourism and community resource".