Dundee City Council has rejected plans for a budget hotel in a B-listed building on West Bell Street.
The transformation of the property would have created 34 rooms, but would mean too many changes.
Dundee City Council officers said the plans would have a negative impact on the second floor’s main room, which would be split into several bedrooms with en suites.
Council officer Beverley Knox said a hotel at the location would have the potential to establish a viable future for the building.
The existing second-floor room contained significant attractive cornicing and internal features, including windows of an extremely substantial scale that added to the quality of the property’s interior.
She said: “The submitted plans propose the subdivision of this large room of outstanding quality to form four rooms, each with its own en suite facilities.
“The proposed works are therefore considered to be unacceptable.”
She said there was insufficient evidence other areas of the property would not be harmed by the change.
The application by the Lost Guest House company was one of several proposals for hotels in Dundee.