The owner of the Tay Mills student flat complex in Brown Street is seeking planning permission to create 22 studio apartments in an empty block.
There are already 414 bed spaces in a combination of flats ranging from two to six bedrooms.
Crosslane Student Accommodation have found the larger flats are not being let as often as they would like, while they have fewer of the smaller flats than needed to meet demand.
They intend to reconfigure the existing accommodation to help address this, a move which does not require council consent.
However, the additional flats along with a new management office and reception area in the vacant block will need permission.
A supporting statement to the application said: “This will not increase the overall number of bed spaces on offer at Tay Mills, but it will allow the use of the vacant unit, helping to preserve this part of the building whilst providing an active use at street level.
“Forming further units and ancillary uses, the financial viability of Tay Mills would be improved, addressing student demand with more marketable student accommodation.”
Tay Mills is a category A listed building and is in a conservation area.