Edinburgh-based Futurity Ventures plans to develop the Scottish Borders Council-owned Burgh Yard at Braw Lads Brae, within walking distance of the town’s Transport Interchange.
A public consultation over the plans is being launched and if planning approval is agreed it is hoped the development will be in place by the autumn of 2025.
The site has been vacant since its previous use as a petrol station, workshops and a yard.
Futurity Ventures Limited is proposing a three-storey mixed-use gateway building, a four-storey 53-bed hotel, a three-storey 60-bed care home, 37 flats and six affordable flats.
The company has been working closely with Scottish Borders Council on the proposed development.
A statement from Futurity Ventures says: “As the council has allocated the land for redevelopment in the Local Development Plan it is considered that, in principle, the site can be developed and provide a contribution towards meeting tourism, visitor and residential demand within Galashiels.
“Development will be accessible and well-integrated within the existing town providing a logical and well-planned infill to Galashiels.
“A sensitive site such as this demands a high quality of new design which will adopt appropriate densities and massing, a people-friendly approach to streets and spaces, and care in the details of materials and colours.”
A finalised site layout will be developed following consultations, surveys, and design and technical studies.
Marketing of the site will be concluded once planning consent has been granted with work expected to start on the site towards the end of 2023.
The report adds: “Users are being identified and market testing has commenced with a view to attracting local and national operators who may wish to take a stake in the site”.