The former private care home at 44 Bridlington Street previously cared for people with learning disabilities, but it is now vacant and on the market after an application to convert the property was submitted by Mr C Pierotti on behalf of Moorview Care.
Council documents said that because of "the pandemic and with the cost of living increasing dramatically, it became apparent that the services provided at Barclay House would not be sustainable, practical or economical into the future."
The conversion into a residential dwelling was approved by the council on June 22 and will only involve "minor room alterations" with some internal partition walls being removed, while no alterations are proposed to the exterior of the building.
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The property has a history of proposed conversions dating back to 1983 when the council refused an application to convert it from a dwelling into a "private hotel and licensed restaurant".
There were two subsequent and unsuccessful applications to transform the property into a guesthouse, between 1983 and 1985, until the council finally approved plans to convert it into a care home in 1986.
Located within development limits and the Hunmanby Conservation Area, the site benefits from a large existing garden and numerous parking areas that will also be utilised.
During the public consultation period, no comments were received by the council. Similarly, no objections were raised by Hunmanby Parish Council or the residential regulation manager, nor did the local highway authority have any objections concerning roads or parking.
The parish council did ask for a clause preventing "the property from becoming a holiday home" owing to restricted parking at the front of the building. However, council officers said it "would be unreasonable and unnecessary" to restrict any future uses in this case.
The council's report added that as the proposed plans met the policies of efficient use of land and buildings, the conversion should be approved "without the need for further proactive action from the Local Planning Authority".