Masterworks Development Corporation, a New York-based hotel group, has bought the long-standing London HQ of German bank Bayern LB for a luxury redevelopment.
The group is understood to have paid close to £50m for Bavaria House at 13-14 Appold Street , EC2.
Masterworks Development Corporation was founded in 1992 by Ralph Bahna. It has developed an international group of hotels, called Club Quarters, aimed at cost-conscious business travellers.
The 34,000 sq ft freehold building, which occupies an island site on the edge of the Broadgate Estate, was brought to the market in June with a £37m price tag.
EPR architects and DP9 have carried out a feasibility study for the site, which does not have planning consent, suggesting a scheme with a net internal area of 175,000 sq ft.
While the block has sight lines to St Paul’s, the view is obscured by other developments and Hackney has therefore suggested it could accommodate a tower of up to 160m.
Hackney council is considered unlikely to entertain purely residential use for the scheme; however, mixed-use schemes comprising residential elements are expected to be viable.
Knight Frank advised Bayern.
annabel.dixon@estatesgazette.com
