Work has begun to clear the former Gloucester City Council offices at Herbert, Kimberley and Phillpotts Warehouses.
The council had been based at the warehouse in Gloucester Docks from 1985 until 2019 before relocating to Shire Hall.
Removal teams have begun to empty the site before handing over to developers.
Council leader Councillor Richard Cook said: “We are looking at a boutique-style hotel with about 90 rooms projected.”
“We hope all the legal stuff will be signed off soon. They are going to have to do a lot of work before they submit plans which will take several months.”
No plans have yet been approved.