A plan to demolish Dublin's Ormond Hotel, which was the scene for part of James Joyce's Ulysses, has been rejected by the city council.

Monteco Holdings, a company reported to be a vehicle for Malaysian investors, had applied for permission to redevelop the site with a 170-bedroom six-storey hotel, along with a new pub.

But city council planners rejected the plan, deciding that the proposed facade "comprises a monolithic design and unsympathetic proportions" that would not fit in with the character of the quays.

It also ruled that the development would result in loss of daylight for neighbouring residential buildings and be "over dominant" to neighbouring 6 Ormond Quay, which is a protected 17th Century structure.

British-Malaysian businessman Tony Fernandes, owner of English football club QPR, and his co-investor Lim Kian Onn were reported to be behind the €12 million project to redevelop the Ormond Hotel, which has been closed since 2006, along with two adjoining properties.

The application was opposed by the James Joyce Centre, as the Sirens episode of Ulysses was set in the original hotel.

The application was also opposed by An Taisce and the Georgian Society.

The hotel building at 7-11 Ormond Quay was redeveloped in the 1930s from the original hotel, which opened in 1900 at 8-9 Ormond Quay.