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Oxford City Council has approved a £37m scheme to transform an old cinema into an 145-room aparthotel.
The proposal will see the building demolished and redeveloped, with community space on the ground floor and an aparthotel on the upper five floors.
The council has been seeking out the best use for the building since September 2022.
It currently operates as an Odeon cinema but the lease for that runs out in 2024 and Odeon did not submit a proposal during the procurement process.
The move comes as part of the council’s City Centre Action Plan aiming to encourage more hotels to open in Oxford city centre to boost the city centre’s economy.
Councillor Ed Turner, deputy leader of Oxford City Council, said: “This is a once-in-a-generation redevelopment of one of Oxford city centre’s iconic buildings. We are extremely excited to see the building transformed to provide a new community hub in the heart of Oxford city centre. It is unfortunate that Odeon has announced the closure of their cinema in Magdalen Street, and we hope they may reconsider this decision.
“The aparthotel will also encourage more overnight stays in Oxford city centre, providing a significant boost to hospitality businesses, particularly George Street’s theatres, restaurants and bars, and it will provide valuable income to support frontline services such as youth workers and grants to voluntary sector organisations.”
