A consortium led by property developer Paddy Kelly and Pat Ryan is planning to remodel and extend the former Adelaide Hospital in Dublin for use as offices, following its purchase for £6.1 million.

The building on Peter Street occupies a site of about 1.5 acres and has 130,000 sq ft of floor space. Permission is likely to be sought for an extension which will link up with the centre of the building. Treasury Holdings is understood to have been runners up for the landmark building which dates from 1858. Mr Kelly is involved in a number of projects including Clonskeagh Business Park. He and a number of partners recently paid £8 million for a 2.6-acre site at Smithfield which is likely to be used for a mixed development of offices, apartments and shops.