A plan to turn a Victorian former school into a 35-bedroom shared house would create a "legalised slum", it has been claimed.

A developer had wanted to take the disused former Montessori school in Stoneygate Road, Leicester, into what would have been the city’s largest house in multiple occupation (HMO), but the proposal was rejected by Leicester City Council this week.

The project had been controversial with nearby residents who said it would lead to anti-social behaviour and bring down house prices in the upmarket area.

City council planning officers had suggested the scheme be approved, but councillors rejected it after a debate this week.

Dr Amandeep Samrai, a nearby resident and one of the objectors, addressed the council planning meeting.

She warned that the proposal would be detrimental to the tenants who would live there, because the property would be overcrowded.

Dr Samrai said it would be hard to manage such a large HMO with up to 53 occupants. She said most HMOs were six to 15 rooms.

Dr Samrai told the meeting: “This is, in my opinion, akin to a legalised slum."

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Knighton ward councillor Dr Lynn Moore said there were serious flaws with the scheme.

She said: “I suspect the building will only attract interest and rentals from people who can’t afford anything better.

“They might well be itinerant workers drawing minimum wage or lower.

“Despite assurances about the number of people living in the building, there may from time to time be overcrowding.

“You might call this call this catastrophising, but when you cram lots people into small spaces, some without the skills to cope well, with substandard facilities, it is a recipe for social disaster.

“Why? To make money, pure and simple. To exploit, rip off and provide sub-standard accommodation just for a profit.

“It’s Rachmanism revived in Leicester.”

What the developer's agent said

Andy Leonard, agent for developer Moshin Chodhury, told the committee the rooms were intended for graduates and professionals or commuters who wanted to stay in the city for a couple of nights a week.

He said it would not be used by families or people who needed additional support.

Mr Leonard said potential tenants would be credit checked and would need to produce references before being offered a room.

The tenants would support business in nearby Stoneygate, said the agent.

He added: “The building has been empty for several years now, and is now under new ownership.

“It is a large building in a conservation area, and bringing it back into use would be a positive for the area.”

The agent said there would be no external alterations to the buildings other than to repair damage.

He also said the living areas would be high quality.

There would be staffing on sight with security 24 hours who could quickly deal with any trouble, added Mr Leonard.

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Chairman of the committee Councillor Ted Cassidy said: “This is a new use for a vacant building and we need housing, but there are so many concerns about poor amenity for residents [in the building] and other residents in the area.”

He recommended refusal of the plan and was supported by seven of his colleagues, with two abstensions.

Had the scheme been approved, the HMO would still have had to go through the council’s licensing process.