Permission has been refused to change the use of almost fifty apartments in Killarney from holiday to residential use.
An Bord Pleanála decided the application would be contrary to the proper planning and sustainable development of the area.
Last September, Kerry County Council granted permission, subject to conditions, to Octavius Property Company Unlimited to change the use of 48 apartments located adjacent to Hotel Killarney on Park Road and Cork Road.
Permission was granted to change the use of the apartments across three blocks from holiday to residential use.
This decision was appealed by Sheila O'Sullivan of Ros Villa Guesthouse, Park Road, Killarney and Crimmins Hotel and Leisure Limited to An Bord Pleanála.
The board refused permission saying it was not satisfied the applicant had sufficient legal interest in the lands on which ancillary facilities such as parking, bin storage and open space needed for the apartment occupants or approval from the person who can enable the use of such facilities.
The board also pointed to a lack of internal storage in the apartments and allocated private amenity space, which would adversely impact on residential amenity for prospective occupants.
It said the proposed development would be contrary to proper planning and sustainable development of the area.