Controversial plans to turn a boat hire business in Warwick into a block of flats have been blocked by the district council.

Multiple objections had already been made to Sunakri Ltd's application to partly demolish the Nelson Lane building currently home to Kate Boats, to make way for five apartments.

The scheme would have seen a new two-storey extension built on the Grand Union Canal building, as well as significant internal alterations.

While plans had been slightly modified since they were first submitted, Warwick District Council (WDC) has still refused to grant planning permission.

"Evidence has not been provided to indicate that the loss of the employment land would be acceptable on any of the grounds stated within the above policy," a council report said.

"The principle of the proposal is therefore considered unacceptable.

"The proposals would undermine the supply of employment land within the District, harming the local economy."

The building was a brewery at the start of the 20th century (image via planning application)

Concerns were also raised about the conservation area and the council said the flats would be "unneighbourly and overbearing".

Currently used as a boat hire business, the building is thought to have been a brewery at the start of the 20th century.

In its application to WDC, Sunkari said converting the industrial building to residential should be allowed due to the changing character of the area.

"This change of character from industrial to residential will be further reinforced by the development of the large residential site on the north side of the canal, which will include two and three-storey buildings set behind metal railings directly on the canal frontage opposite the Kate Boats application site, clearly effecting a significant change to the character of the canal at this point," the application said.

"It is notable that the approved canal-side elevations incorporate design features from the Kate Boats building, having shouldered gables to the canal with circular apex features and large window openings."

See the full application here.

An artist's impression of the development (image via planning application)