Thursday January 29th 2026
Egyptian Halls, Union Street
Written by Local Democracy Reporter, Drew Sandelands
Glasgow’s rundown Egyptian Halls could be reopened as a hotel with leisure uses, after a preferred developer to restore the A-listed building was proposed.
The upper floors of the Alexander ‘Greek’ Thomson masterpiece on Union Street have been lying empty for decades — but Glasgow City Council is working on a plan to compulsory purchase the halls.
Bids were welcomed from companies interested in redeveloping the architectural gem, and officials have now put forward Edinburgh-based property firm Ediston as the preferred option.
It has been chosen ahead of a proposal from the current owners — two companies run by Dundee businessman Derek Souter and his partners — and a plan from one other firm (LPT/Lola Ltd).
Under Ediston’s vision, there would be minimal structural alterations and the celebrated halls would be used as a hotel, with leisure uses on the first and ground floors.
It includes in-principle commitments from potential new occupiers of the lower floors and an international hotel operator for the upper floors, the council has said.
A report adds Ediston’s bid represents the “strongest proposal to achieve the proper planning of the area, contribute to the regeneration of the surrounding area and secure the future of this A-listed building”.
Councillors on Glasgow’s contracts and property committee will be asked to approve granting preferred developer status to Ediston next Thursday.
The move would allow negotiations to start over a back-to-back agreement with Ediston, which could see the council buy the building and then transfer ownership to the developer.
It would also allow Ediston to seek full funding for its plan. The firm’s team reportedly includes experts in fundraising for historic assets.
Alongside that work, the council will continue to advance the compulsory purchase order (CPO) process to acquire the building from its current owners, ensuring it can be legally and financially delivered.
It must be satisfied there is a reasonable prospect of securing sufficient funding for the acquisition and for the project to be completed in a reasonable timescale.
Once a robust case has been developed, councillors would be asked to proceed with the CPO and enter a legally-binding agreement with Ediston.
Before a CPO can be promoted, the council must determine if there are other interested parties. The report to next Thursday’s meeting follows a marketing exercise over several months in 2025.
There were more than 20 notes of interest, but only three bids submitted. Ediston’s plans scored significantly higher than other proposals in all criteria, according to the council, and include a defined timeline for development.
Cllr Ruairi Kelly, SNP, the council’s convener for built heritage and development, said: “Identifying a compelling, detailed and well-progressed proposal for the Egyptian Halls is key to securing a future for this architectural masterpiece while giving new life and new purposes to Glasgow’s built heritage.
“By their very nature CPOs are lengthy and complex. But it’s important for Glasgow’s past — and its present and future — that we get this process right and bring this incredible building back to the heart of city life.”
The Egyptian Halls have been on the national Buildings at Risk register since 1990. Scaffolding has been in place for 15 years.
In June last year, the council agreed to grant a “carrot” of £150,000 to the developer chosen to revamp the building. The funding — dependent on the completion of the CPO — is expected to go towards “bricks and mortar” construction work, rather than feasibility studies.
The building is currently owned by two companies — Union Street Developments and Union Street Properties — both run by Dundee businessman Derek Souter and his partners. They are able to sell the property voluntarily at any point.
Some ground floor shops are currently occupied. The council previously said it would try to help tenants relocate if the plan progresses.
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