Dharam 13 Properties had wanted to convert the old King George V Hotel in Wallows Lane into 11 apartments as hopes of keeping and maintaining it as a pub were deemed unviable.
But planning officers at Walsall Council rejected the plan for a number of reasons, including a lack of information provided on the potential impact the development would have on the building.
Officers also said the proposal failed to provide a satisfactory standard of amenity for future occupiers, planned extensions would have a detrimental impact on the character of the building as well as concerns over crime and anti-social behaviour.
The pub was stripped of its licence in March 2021 following a hearing which was told of a string of serious incidents including a car ramming the front of the property, “horrific” brawls in the street and drinking after hours.
Police said the trouble happened between October 2019 and December 2020 and also included a series of breaches of Covid regulations.
Agents Sigma Home Solutions said: “Changes in society and how people socialise and interact have had an impact on public houses like the King George V and are suffering from a severe downturn in use, which is common nationwide.
“This trend seems likely to continue and therefore a building like this isn’t likely to sustain itself as a public house business again.
“Alternative uses must be explored and accepted by local authorities should they wish to see buildings occupied and used and particularly in this situation where the building is in a prominent location on a major trunk road.
“Creating good quality residential accommodation is imperative for the letting of the flats and would bring the dwellings up to a comparable standard to existing apartments dwellings in the town.
“By developing the existing building into apartments improves the likelihood of occupancy of this building, which would satisfy a requirement for much needed housing in the area but also provide an economic benefit by increasing activity within the town.”