The owner of one of Derry's most historic buildings, which was destroyed in an arson attack last month, said yesterday he intended to build a hotel on the site once demolition work has finished.
Belfast hotelier Dr Dilghit Rana said it would take up to seven weeks to demolish the shell of the former Tillie and Henderson shirt factory, which is located overlooking the River Foyle at the end of Derry's Craigavon Bridge, close to the city centre.
The five-storey, derelict building, which was built during the industrial revolution in 1856, was set on fire 37 times by arsonists last year before it was destroyed in a massive blaze in early December.
Following the fire, which caused several road closures, the city council successfully urged the Department of the Environment to obtain a High Court injunction to prevent Dr Rana from having the building knocked down.
However, just before Christmas the North's Environment Minister, Ms Angela Smith, said there was no legal way to save the building from demolition once the injunction period had expired.
Dr Rana said yesterday he had no option but to demolish the building because his insurers had threatened to withdraw public liability insurance.
Demolition work started over the weekend but was temporarily halted when youths were seen on the fifth storey of the building.
"We have plans with the Planning Office to build a four-star hotel with 117 bedrooms and 35 long-stay apartments on the site," said Dr Rana. "We will start after the necessary planning procedures are completed, but it will be at least another two years before it will be ready and it will be a nice development for Derry."
However, SDLP councillor Ms Helen Quigley, who spearheaded the council's efforts to have the shell of the building retained, accused Dr Rana of "ignoring the wishes of the people of Derry" to preserve the building.
"He knows very well that he has demolished this building without the consent of the council and without the consent of the local people.
"I sincerely hope that Dr Rana stands over what he has said and will invest in this city on this site.
"It was very unnerving yesterday to see the youths inside the building while demolition work was under way beneath them."