While many Bournemouth hotels have closed in recent years to make way for blocks of flats, the Tralee on the resort's West Cliff is set to virtually double in size.
Plans have been submitted to Bournemouth council to alter and extend the three-star establishment, increasing the number of bedrooms from 59 to 110.
A Bournemouth council spokeswoman said the proposals, lodged by "a budget hotel brand" operator, included plans to erect a fourth floor on the building to provide four residential flats.
She added: "This is intended to be the enabling development to help minimise the financial risk of the hotel alterations."
There are records of the Tralee dating back to the early 1900s when a Bournemouth guide extolled its electric lights and bells, together with its sanitary certificate.
Later radio and intercom were fitted in all rooms and other attractions included a ballroom, cinema, restaurant and Shamrock Lounge.
Once almost entirely furnished with antiques, the hotel was refurbished in 1969 when a sundeck was added to give guests the benefit of stunning views over Poole Bay.
In the 1980s the West Hill Road hotel had another major facelift, now boasting an indoor heated pool, sauna, games room and beauty salon.
Multi-channel television, including satellite programmes, direct-dial telephones, a baby-listening service and tea and coffee-making facilities were introduced.
In 1989 a week's holiday at the Tralee, which was owned by the same family for many years, cost from £159. Today dinner, bed and breakfast for a week costs £332.50.
Now owned by the Carlton Hotel Group, the hotel prides itself in its philosophy of "quiet sophistication and unmatched service."
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