Tooting's only Hindu Temple is facing demolition as developers plan to move in and replace the holy site with a hotel and student accommodation.

The Sivayogam Muthumariyamman Temple in Upper Tooting Road may be forced to closed after the religious leaders' bid to buy the building was rejected, it was claimed.

Money owed to the landlord after a tenancy disagreement is thought to be main reason behind the rejection.

Barrowfen Properties, who are both the current landlords and developers, plan to build a 76 bedroom hotel, student accommodation in the form of 11 flats and commercial floorspace at ground level.

Navenbram Seevarapnam, founder and spiritual leader of the temple, said: “This will cause a lot of pain and misery for the whole community. Unfortunately this development is now in the hands of [other] people.

“I feel we are being forced out. We have no other place to go. It is not easy to move a temple, it is something that once founded should remain in its location forever.”

The temple is estimated to receive 300 people a day, with worshippers travelling from all across Europe – as well as India and Sri Lanka.

It has been at its current location for 14 years and on special religious days can see the number of visitors rise into the thousands.

In a letter to the council, one worshipper, Shankar Swaminathan, wrote: “I feel peaceful, confident and secured when I am worshipping there. The temple is like a heaven.”

Mr Seevarapnam said he and a charitable trust that support the temple had tried to purchase the building, were rejected.

The hotel on the site is likely to be a Travelodge, and the student flats will be offered to students from Roehampton University.

Developers hope some of the commercial space on the ground level will be occupied by doctors and dentists.

A director at Barrowfen Properties, who refused to give his name, said: “We feel this development will offer more benefits to the wider community.”

Consultation on the planning application ended on Friday and will be presented to the planning committee on June 15.

A spokesman for Wandsworth Council said: “All comments about the application will be taken into account.”

To view the application, visit wandsworth.gov.uk and search for number 2010/1342 in the planning section.