Cliffemount hotel in North Yorkshire has been granted planning permission from the council to be converted into the UK's first Passivhaus hotel.
There are more than 65,000 Passivhaus certified buildings across the globe, which are recognised for prioritising energy efficiency through the installation of controlled ventilation and durable fabrics.
Passivhaus said its properties "typically use 90% less energy for heating compared to a conventional building".
The 20-bedroom hotel in Runswick Bay was acquired by Karen Fojt and her two daughters, Melissa and Siobhan, and her son Howard, in 2022.
The family are in the process of securing Passivhaus accreditation for the property, which will also see the addition of a new restaurant, pub and bar.
Karen said: "After a long process, my family and I are incredibly excited to get the go-ahead for planning and get started on the building and development of the hotel.
"Working with the architects, engineers and designers over the last 12 months and seeing our vision start to become a reality has only made us more passionate about what's yet to come. We can't wait for the day that we are able to open our doors for the first time."
Janet Deacon, head of tourism and culture for the Yorkshire Coast, added: "I wish to express my wholehearted support for the proposed development of the Cliffemount Hotel, Runswick Bay.
"The renovation plan has been considered with the community at its heart, is sympathetic to its coastal national park location and can only benefit Runswick Bay in a positive way."
The hotel is scheduled to open in summer 2025.