The Royal Imperial, a former hotel and pub in Oxford Street, could be demolished and replaced with modern flats.
Plans submitted to Rugby Borough Council last month detail how the scheme would provide 18 flats on the site, which is thought to have been one of Rugby’s oldest pubs.
Since it stopped trading three years ago the building has been associated with antisocial behaviour and squatting, according to planning documents.
The current owner of the site has been letting the former hotel rooms out but the building is in a state of disrepair.
IDP Midlands Chartered Architects state in a planning document: “The proposal has been designed to minimise its massing on neighbouring properties. We believe that the proposed submission is an improvement on the current massing because the existing structure places two storey building along the rear gardens of adjoining neighbours.
“One of the challenges faced at this site was to ensure that the scheme sits in harmony with its immediate local vernacular whilst providing the street a visually interesting elevation and improved sense of enclosure.”
The borough council’s planning committee will discuss the proposal in the coming months.