The former Towerbank Primary School Annexe, 13 Bath Street, Portobello is being recommended for sale to the second highest bidder, Luxx London Residential Ltd for £325,000.
A report to the City Council’s Finance Committee says: "The highest offer was for pub/restaurant use and was conditional on the operator obtaining a satisfactory planning consent and a premises licence.
"Following consultation with the City Council’s Planning Service, it was established that it was highly unlikely that planning consent for pub/restaurant use could be achievable.
"In light of this, it is recommended that the Council accepts the second highest offer on the following terms:
"Purchaser: Luxx London Residential Ltd, Price: £325,000"
Item_7.7__Sale_of_Former_Towerbank_Primary_School_Annexe__13.pdf