A dilapidated former nightclub in the heart of Moray’s biggest town is poised for a new lease of life.
The Jailhouse premises in the heart of Elgin have lain derelict since being badly damaged by fire in 1998.
But the venue is now under offer after being put up for auction.
Its guide price was reduced from £35,000 to £29,000 when it went under the hammer at Wilson’s Auction house at Dalry in Edinburgh.
It is understood negotiations are now ongoing over the sale of the High Street premises.
Its owner, William McBey, hopes it can rise from the ashes as a student accommodation complex and architects have already drawn up plans to create 40 rooms over its three storeys.
But it could also be resurrected as a nightclub, or turned into a block of six apartments, with space for businesses.
Elgin City North councillor Patsy Gowans said residents had welcomed the potential redevelopment of the venue since details of the sale emerged.
She said: “Although things are far from certain at this stage, it is encouraging that there is some interest in taking on this building.
“People have been very positive about the idea that it could be transformed, and I think it could spur some real changes in the centre of Elgin if it is converted into student accommodation.
“We need to create a vibe in the town centre, and that would help with that.
“It could force businesses to look at extending their opening hours, and bring new firms into the centre.”
No one at Wilson’s Auctions was available for comment yesterday, and the identity of the party who placed the winning bid remains unknown.
Since purchasing the Jailhouse seven years ago, Mr McBey has discussed options for its future with Moray Council and the Elgin Business Improvement District (Bid) group.
Although the complex is under offer, Wilson’s has said that it could be placed for auction again on Thursday, July 28, should its owner fail to reach an agreement with the bidder.