Update, 5pm: Perth's iconic Red Castle Hotel has sustained extensive damage in a fire which tore through the building this afternoon.
Fire crews were called to the Red Castle Hotel, on Streatley Road near Castle Way, Lathlain at 12.09pm. Ten fire crews were sent to the scene.
Firefighters used a crane to get to the top level where flames and smoke were billowing out of the sixth floor.
Firefighters on the fifth floor blasted the ceiling with water in an attempt to completely extinguish the flames.
Crew on the ground also assisted in bringing the blaze under control. Emergency crews remain at the scene this evening.
The blaze was contained to the top floor of the hotel and fire crews estimate it took them about an hour to get the fire under control.
The hotel's top floor was used as a storage room and contained items such as old mattresses.
The cause of the fire is still being determined.
Residents in nearby houses and 14 hotel guests were evacuated.
Hotel guests have said they did not hear any alarms when the fire started. They will need to find alternative accommodation today.
Nobody has been injured.
Castle Way was been closed to traffic and Main Roads warned motorists of smoke on the Great Eastern Highway in Rivervale. Main Roads says the smoke has now cleared but has advised motorists to drive carefully in the area.
Anyone with health conditions is advised to stay inside as there is still a lot of smoke in the area.
The West Online understands the hotel was sold on July 2 to a group of private buyers who had been trying to restore it to it’s former glory.
In 2010 a developer mounted a last attempt to get council approval for the $55 million redevelopment of the rundown hotel site, proposing to turn it into a block of both luxury and affordable inner-city apartments.
EG Funds Management bought the 9836sqm site, which is 200m from Burswood train station, in 2005 for $5.5 million and revised its development plans several times in an attempt to win council support.
It was planning to erect 23 townhouses and 50 apartments at the iconic site in place of the hotel buildings, in keeping with the Town of Victoria Park’s policy of discouraging “non-conforming uses”, such as hotels and motels, in residential areas.