The plight of a crumbling Carlisle building was propelled into the national spotlight when it was named as one of the most endangered Victorian buildings in England and Wales.

The Central Plaza Hotel, in Victoria Viaduct, became a talking point when the Victorian Society placed it on its 2015 Top 10 Most Endangered Victorian and Edwardian Buildings list.

Since then, a scheme which aims to breathe new life into the threatened building has gathered momentum and a funding bid for a £7,000 to £10,000 feasibility study is looking promising.

Colin Glover, leader of Carlisle City Council, said: “The listing was helpful to highlight the need for getting a solution to the building.

“It’s given all the people involved, plus some others, a real focus on the building.

“The fact that it’s been nationally recognised as a building that’s worth saving is always helpful when you’re looking at applying for funding.”

The city council is leading the co-ordination of a group with an interest in saving the Grade II building, which has stood empty for over a decade and been labelled an eyesore.

Granted funding, the study would aim to discover what the Central Plaza could be used for and the possible costs of its restoration.

The Prince’s Regeneration Trust is advising the council on ways to find the estimated £4m needed to be spent before any developer might take it on.

Carlisle City Centre Business Group would carry out the feasibility study and hope to complete it by early 2016.

“It’s definitely brought it to more people’s attention,” said secretary Viv Dodd. “The signs are positive.”

Earlier this year, conversations began on how to reinstate the historic hotel. One idea was that the ground floor and basement could become a state management-themed pub or bar, with a hotel above.

Mr Dodd said: “The Heritage Lottery really likes the idea of a state management story because it is unique to Carlisle. We have got a listed building which played such an important part in the state management story, it is natural that it is our preference it is restored that way.”

The building is in the hands of The Crown Estate. It is not owned by it but subject to a complex legal process called escheat, where a property has become ownerless.

A spokesperson for The Crown Estate explained: “The Crown Estate has the ability to sell properties which are subject to escheat back to a private owner.

“The Crown Estate recognises this would be desirable and we will work with interested parties if approached.”

Mr Glover said everything needs to be in place before they can approach The Crown Estate’s solicitors to secure the building.

He said: “We would be looking to it just being transferred to us.

“Naturally the Crown will say it wants to achieve the best possible price.

“Actually the building’s worth nothing and we know it’s got this conservation deficit of about £4m – so it’s worth less than nothing really.”

The city council has already spent £77,000 to make the building watertight. It has been assured the building is stable but continues to monitor it.

Mr Glover thinks it would be a shame to demolish the Central Plaza Hotel which was built in 1880. Over the years suggestions for the site, which has no immediate parking, have included office space, student accommodation and re-establishing it as a hotel.

He said: “Until we can get the feasibility study done, that’s the bit that will release the next steps. At the moment it’s about keeping conversations going.”

James Hughes, senior conservation adviser for the Victorian Society, added: “Its inclusion in the Top 10 received lots of media attention. The Central Plaza sits on a complicated site and any developer is likely to think carefully about getting involved.”