Plans to re-open the Royal Hotel as part of a new town house development have been submitted to North West Leicestershire District Council.

The initial, renewed, application is for 17 townhouses, with associated car parking access, landscaping and car park to hotel.

But a detailed planning report with the application says the development is aimed at re-opening the Royal for use as a hotel.

The report has been written by Stone Planning Services who have been instructed by Royal owner Simon Dawson's company Oakland Hotels Ltd to prepare the planning application.

It effectively says that funds from the town house development would pay for the restoration of the Royal - thought to be around £4million - and says: "The hotel building is to be fully renovated and re-opened to commence trading as soon as practically possible."

The previous, now withdrawn, scheme - submitted in 2019 - also said money from that scheme would be used to re-open the hotel.

The report also says that the scheme would 'secure the future of the Bath Grounds for the people of Ashby de la Zouch though the transfer of the freehold to the Town Council.'

It adds: "The applicant is prepared to enter into a Section 106 Agreement to secure the future of the Hotel and ensure that it is comprehensively renovated both internally and externally in a timely manner.

Plans show what the town houses on the Royal site would look like

"The re-opening of the hotel will also provide a destination for both tourists and business visits.

"There is very limited hotel capacity in Ashby and the Royal Hotel will provide a unique facility in close proximity to the town centre.

"It will result in some additional spend in the town, job creation and increased turnover for the numerous local businesses that will trade with the hotel."

The report says there is 'operator interest' in the hotel but admits that other uses for the Grade II* listed building had been considered.

It continues: "We have considered alternative configurations such as conversion to apartments, offices and mixed commercial uses.

"But, due to the confirmation of the internal space, the amount of shared public space and the size of rooms, none of these uses would be practical or viable.

"Hence, we conclude that to maintain the existing use is the optimum viable use.

"There is operator interest. We believe that the hotel use for that purpose will cause least harm to the significance of the asset."

The report also addresses the Bath Grounds and Ashby de la Zouch Town Council.

The report describes the Royal Hotel car park as an 'eyesore'. Photo: Ashby Nub News

It adds: "The overall package will enable the Town Council to secure the freehold of the Baths Grounds.

"If the Town Council owns the freehold then it will be in a position to issue formal long leases to both the Bowls Club and the Cricket Club.

"Furthermore, we are aware of the Ashby Town Council and the District Council's desire to see the Hotel operational once again. It is a much loved institution in Ashby.

"It was thus concluded that the optimum viable use is to maintain the existing use, for which there is operator interest.

"We believe that using the hotel for its original purpose will cause least harm to the significance of the asset and is in accordance with one of the basic principles of good conservation practice: that the best use of an historic building is that for which it was initially designed."

A previous scheme for a 30 apartment terrace, office building, cafe kiosk and 45 senior living apartment block was withdrawn last week.

That had been on the table for three years and was itself renewed in January.

It also promised to use funds from that development to re-open the hotel which has been closed for four years.

It drew strong opposition locally but those plans never made it to planning committee stage.

The Royal Hotel has been closed for four years

A fresh application to develop the land had been expected and has now been lodged with the district council.

It is listed as a full planning application for the erection of 17 townhouses, with associated car parking access, landscaping and car park to hotel and associated access amendments at the Royal Hotel.

Plots 1-3 are three bedroom units with accommodation on three floors, and units 4-17 are five bedroomed with accommodation on four levels.

There would also be a combined 119 car parking spaces - 56 for the houses, 63 for the Royal.

The report says that:

• If planning permission is granted, development of the proposed 17 houses will start as soon as possible

• Construction of the houses will run in parallel with the renovation of the hotel.

• A development bank loan will be made available of up to 65 per cent Loan To Value to fund the construction of the houses and all external works and infrastructure.

How the scheme would look if the work went ahead

• The development bank loan will be drawn down from the bank on a monthly basis to fund all costs in connection with the development of the houses and necessary infrastructure works

•The houses will be built and sold as soon as reasonably possible.

• All surplus funds/profits, following the repayment of any development bank loan, from the sale of the houses, are to be used to complete the renovation works and all costs associated with the reopening of the hotel before any distribution to the owner is allowed.

• The hotel building is to be fully renovated and reopened to commence trading as soon as practically possible.

The report talks of the 'Restoration of the Grade II* Royal Hotel to its optimum beneficial use' and it will:

• Reconnect the Hotel with the Bath Grounds

The report says the scheme would reconnect the Bath Grounds to the hotel. Photo: Ashby Nub News

• Remove of the existing car park which is an eyesore

• "Less than substantial harm" to heritage assets

• Short term disturbance form construction activities

• Tree loss will occur particularly to the south of the Royal Hotel

• Secure the future of the Bath Grounds for the people of Ashby de la Zouch though the transfer of the freehold to the Town Council.

• Enable the existing sports clubs to secure long leases and so apply for funding to grow their respective clubs.

• Re-open the Royal Hotel as a social hub for the community

• Removal of anti-social behaviour from the unsightly northern car park

• Short term construction jobs will be created.

• Creation of long-term jobs