Northern-Irish property developer Deramore has submitted a planning application for a hotel and new shops on Edinburgh’s Princes Street.

The Belfast-based firm, which bought 121-123 Princes Street in January this year, wants to turn the building into 27,000 sq ft of shops over three floors and a 103-bedroom hotel.

The shop has been prelet to fashion retailer New Look for a flagship store.

The block already has consent for a retail and office scheme, submitted by previous owner Royal Sun Alliance in 2001.

However Deramore has opted to apply for a new consent as it believes there is demand for a hotel.

Edinburgh City Council is aiming to increase the city’s number of hotel rooms by 5,000 by 2015.

Edinburgh-based SMC Hugh Martin are architects on the scheme.