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Hotel chain Best Western is in talks to take on the Coniston.
The London Road hotel has remained unused since the 11th hour postponement of its reopening in 2010 after a multi-million pound refit. About 60 people lost their jobs.
It is the subject of a High Court battle between former owners Ernie Berntsen and Chris Richardson and administrator BDO.
Mr Berntsen said: "We welcome the move because it means it will be back in public use.
"We will be notifying as many people as possible that we took on [to work at the hotel] that there is a possibility they can apply for a job there."
to the group's portfolio of more than 270 hotels.ConistonBest Western Hotels PR manager Mikhaila Brentnall confirmed discussions were in progress to add the