Speaking to IRNA on Sunday, Managing Director of Tehran Cultural Heritage, Handicrafts and Tourism Department Rajab-Ali Khosro-Abadi denied earlier reports that the building is to be demolished.
"With guarantees provided by the current owner of the building, it is supposed to be preserved and refurbished and part of the venue is expected to be turned into a hotel," Khosro-Abadi said.
Construction of the building started in 1961-62 and it was completed 12 years later.
Constructed in an area of 11,543 square meters, it was regarded as the biggest house in Tehran before the 1979 Islamic Revolution.
Tehran's stone palace uses architectural patterns very much alike to those found in French palaces but the internal decorations remain traditional Iranian style.
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