The historic listed building on Barrack Street was home to the Robertson’s furniture store, which operated on the site between 1929 and 2011, when the company fell into administration.
The development site, measuring just over 0.5 acres in area, already boasts planning permission for a 215-bed hotel.
The hotel blocks are in two parts – one for 115 beds over six storeys and the other for 100 beds, also over six storeys.
Offers are now being invited for the potential delivery of the development, with property experts also flagging its potential for student accommodation.
Despite Dundee being a campus city, with two universities and two colleges, the supply of student beds is said to lag behind other university cities in the UK.
Will Scarlett of Scarlett Land and Development, which is marketing the site, said: “This is a superb opportunity for an exceptional development in Dundee city centre which is very well connected.
“Clearly given strong demand for student accommodation and given its location in close proximity to universities and colleges, this is an ideal opportunity for a student housing developer to progress such a scheme.”
The site is being marketed by Scarlett Land and Development, with a closing date of September 16 set and a “strong preference for bids that are not conditional on planning”.
The former store comprises a four-storey art deco style B-listed building constructed in the 1930s, prior to which it was the Willison United Free Church.