Douglas Paterson is to take retirement a year earlier than planned.
He said: "This seems to me to be the right thing to do. After 12 years at the helm of Scotland's ‘third city’ we are at a moment in time which just seems right for me to hand over the reins and allow someone to bring a fresh impetus to one of the best jobs in Scotland and drive the council forward.”
£5m lost through land and buildings sale
The move comes as police investigate£5m losses on the authority’s property disposal programme uncovered by Audit Scotland, which found that officers had sold land and buildings too cheaply.
Mr Paterson added: "I had planned to retire in just over a year’s time, however the fact that we are due to review progress later this year and we will also have the findings of the Accounts Commission hearing it would be best for the council and the new chief executive for him or her to be part of that process now. "
He added that his resignation allows the "new incumbent a clear, uninterrupted run at the job and allows him or her, with the support of the new management team, the chance to inject a fresh impetus and build on what has been achieved to date".
Council leader Cllr Kate Dean (Lib Dem) said: "As leader of the administration I will be recommending to the council that we approve our chief executive's request for early retirement although I do this with considerable regret."