City of York council has advised Palace Capital that it will not require prior approval to convert parts of Hudson House in York into flats.
Hudson House is a 103,000 sq ft office building adjoining York Railway Station. It was acquired by Palace Capital in October 2013 as part of the Sequel Portfolio.
The company applied on 14 October to convert around 81,000 sq ft of the building for residential use. The scheme will deliver 115 flats including 77 two-bedroom and 38-one bedroom flats. The remaining space will remain as offices.
Neil Sinclair, chief executive of Palace Capital, said: “This is excellent news for Palace Capital. This is our largest asset in our portfolio and one where we have worked hard to maximise the potential value from the property.
“The determination by the council that approval for the change use and conversion is not required paves the way for us to ultimately create an exciting mixed-use development right in the heart of York, where demand for space is strong.”
