A Grade II listed building, formerly used as a hotel, could be changed into a multiple occupancy home with 30 rooms.
Tony Burlingham, who currently owns the grade II listed NR19 hotel, also known as Hill House and Wine Lodge, has applied for planning permission to change the use of the building to a house of multiple occupancy.
Breckland District Council have already given planning permission to privately let 11 of the rooms in the hotel.
Formerly, the council used the rooms to house the homeless, a spokesperson said: "Breckland Council does not use this property to provide temporary accommodation support, though we have done so in the past.
"More recently, we have worked with the landlord to help signpost local people who we knew had a housing need to take up private tenancies within the property.
"The move to create private tenancies within the building means the landlord is required to obtain 'change of use' planning permission and our Planning team are currently working with him to process this application."
The new planning permission is required to allow the rest of the hotel to also be rented out.
In the design and access statement, it read: "No building works are proposed with the application and the number of rooms in the building will remain as existing.
"The external appearance of the building will therefore remain unchanged."
Located on the junction with Theatre Street and Wellington Road, the house was built in the 17th century.
It was the former home of Sir John and Lady Ellenor Fenn who were both famed for their academic achievements.
Mrs Fenn was recognised as one of the most important and innovative early advocates of child-centred education and moved into Hill House after her wedding in 1766.
Her husband, Sir John, was famed for transcribing, editing and publishing the Paston Letters, the largest collection of private correspondence and documents surviving from the Middle Ages.
Back in 2018, the hotel was sold at auction for £400,000 at Allsops latest residential sale on at The Cumberland Hotel, in London.At auction it was described as having "possible potential for reconfiguration subject to obtaining all necessary consents".
Receivers had been appointed to sell the Grade II Listed Building.
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