A spokesperson for Prime Investors Capital (PIC), which bought the former government building last year on a 99-year lease for £60m, was responding to a report in the Daily Mail which said that the hotel - which is due to open within the Grade I listed property - is to be operated by the fashion designer Giorgio Armani.
The newspaper claimed that the 80 to 100 bedroom hotel will cost £100m to develop and that Armani will himself personally "design every aspect of the hotel from the bespoke furnishings to the menus". Armani currently operates two hotels in Dubai and Milan.
However, a spokesperson for PIC denied that Armani has been appointed as the operator. "We are currently talking to a number of luxury companies as the intention is that the hotel is going to be a very high end property," she said.
Originally built by King Edward VII as a memorial to his mother Queen Victoria, Admiralty Arch is the second hotel in London to be developed by PIC, following the launch last year of the 85-bedroom Bulgari hotel in Knightsbridge. The Bulgari is managed by Marriott on behalf of PIC, which is headed by the Spanish businessman Rafael Serrano.