The developer behind a multi-million pound Perth hotel and restaurant project reckons it will flourish amid the tourist trade in one of Scotland’s “great cities”.
John Muir, founder and chairman of joint-venture partner the JW Muir Group, said the Mill Street location would be a valuable addition to its portfolio of investment properties when the 83-bed hotel opens its doors later this year.
Work is already well underway on the £5m Premier Inn conversion, which is expected to be completed in time for this summer’s Ryder Cup.
His comments came as Santander revealed it had provided a £3m funding package to help support the venture.
Mr Muir’s Inverkeithing-headquartered firm one of Scotland’s largest privately owned property companies is working alongside Edinburgh-based Deanway Developments, which has interests in retail, office, industrial, mixed-use and residential developments, on the scheme.
JW Muir celebrated its 40-year anniversary in 2013, employs more than 350 staff and has an annual turnover exceeding £93m. Net assets are around £67m, with property valued at approximately £30.
The two have already combined on major developments in Livingston and Cumnock under the Deanway Muir tie-up, with total completed projects worth around £46m.
“This latest development is a great addition to our portfolio, and we are delighted to be on site and already working on the project,” Mr Muir said.
“We believe it will benefit from its great location in one of Scotland’s great cities, with strong potential to benefit from tourists as well as retail traffic.”
The converted former Perth & Kinross Council office, which sits alongside Perth Concert Hall, will include 3,000 square feet of retail space, and was pre-let to the expanding Premier Inn chain part of the Whitbread group, which also includes coffee chain Costa.
Previously one of the new city’s most prominent empty buildings, the former Pullar dyeworks is expected to create 40 to 50 full-time equivalent jobs when it opens for bookings.