The centrepiece of the project is a huge dome, which will tower above the 140-room hotel, in an area being earmarked by city councillors as the new cultural quarter.
The hotel will make up part of the SoCo area, which will include a gallery, fringe theatre and concert space or specialist cinema.
Murray said the glass dome centrepiece of the scheme follows the lead set by former Scottish great Robert Adam.
He said: 'This image illustrates the new glass dome forming a new feature on the important corner of Chambers Street and South Bridge.
'This is not only a contemporary response to the French mansard roof that was demolished on the same building by the 1920s. But it is also inspired by the great domes of Robert Adam's original design for the Old College and Register House in Edinburgh.
'It will become one of the most dramatic hotel spaces in the city and a wonderful addition to the Old Town.'
Apartments, shops, restaurants and bars will also be developed on the 12,000m 2site, which has been derelict since December 2002 when a massive fire ripped through the Old Town, destroying several buildings and causing millions of pounds' worth of damage.