Hotel plan hit by credit crunch

The hotel would have been a prominent feature on the Broomielaw

A £300m hotel planned for Glasgow's International Financial Services District has become the latest victim of the credit crunch.

Plans for the 30-floor hotel and office block development at 236 Broomielaw have been shelved due to the current economic downturn.

Kenmore Property Group, who was named as the preferred developer, said it was no longer involved with the project.

Scottish Enterprise said it would re-market the site at a later date.

If the hotel had gone ahead it would have been the tallest building in the city.

The Sheraton Hotel Group was tipped as favourite to let the waterfront development.

A spokeswoman for Scottish Enterprise said: "We remain committed to securing a high quality hotel and commercial development for the site.

"However, in light of the recent economic downturn we are reconsidering the options for re-marketing the site."