York-based S Harrison has started work on its latest Edinburgh project after appointing Ogilvie Construction as the principal contractor to deliver a new 157-bedroom hotel in the Haymarket area of the city.

The development will see a 1970s office building, which is currently known as Osborne House, transformed into a new hotel, complete with a residents’ bar, restaurant and lounge area on the ground floor and an outdoor seating terrace.

Following part demolition of the existing building, two new accommodation wings will be built to the rear, together with a new storey above the existing building.

The European hotel group MEININGER Hotels is to operate the hotel, due open in spring 2026. 

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S Harrison acquired Osborne House in 2018 and worked with Edinburgh based architect, Comprehensive Design Architects on the transformational plans, incorporating impressive green credentials including the retention of the majority of the existing building structure.

S Harrison will hold the completed investment, further strengthening the company’s property portfolio.

Andrew Wharton, from S Harrison, said: “Appointing Ogilvie Construction to deliver another landmark project in Edinburgh and seeing work start is obviously a key milestone for this development and follows several years of diligent work to secure both planning permission and the right occupier for the scheme. We’re now looking forward to seeing our plans progress on site over the coming months.”

This latest hotel project follows S Harrison delivering a 72-bed Malmaison hotel in Edinburgh’s New Town. 

It also has two student flat schemes in the city and it has won planning consent for the £100m mixed use Ocean Point 2 scheme in Leith, featuring flats, student flats, plus commercial, co-working and amenity space.