Savills has been instructed to sell the former City Lofts site at Brassington Avenue in Sutton Coldfield, near Birmingham, by City Lofts’ receivers.
Savills’ Birmingham office will act as agents to dispose of the 2.5-acre site for an undisclosed sum. Market insiders predict a price tag of around £4m is likely to be achieved.
If so, this is a substantial discount to the price paid by City Lofts when it acquired the site from CALA Homes in 2005 for around £9m.
The development site was to house a £50m mixed-use scheme comprising 295 flats and 66,500 sq ft of offices.
However, City Lofts, the former AIM-listed company associated with Sir Terence Conran, was forced to put the unsold flats into administration last month after the company became a casualty of the UK’s housing market downturn.
Bank of Scotland Corporate subsequently appointed Jon Gershinson of Allsop as a receiver on City Lofts unsold properties in Birmingham and five other regional cities.
Closing date for interested parties is 25 September 2008.
