The Westbury off Dublin's Grafton Street claims that construction of a five-storey development on a Nama-controlled site beside its premises will disturb its guests and could prejudice investment at the hotel.
Declan Taite of Duff & Phelps acts as receiver of Fincon Developments, which applied for permission last year to demolish the large, three-storey Chatham House and to replace it with a five-storey premises containing retail space, a restaurant and 14 apartments.
Chatham House is currently home to a number of retailers and offices.
Planners for the Westbury Hotel told Dublin City Council that they did not believe a five-storey building is appropriate for the location. They said that a planned communal space at the top of the new building could have a "serious adverse effect" on its guests if late-night noise becomes an issue.
The hotel's planners also said that a "wind tunnel effect" could be created on Balfe Street by the new building, which could impact the hotel's main entrance. The Westbury has been engaged with the council to "enliven" the hotel's frontage.
But the council has granted permission for the development, prompting the Westbury to launch an appeal to An Bord Pleanala.