The leasehold to a former Debenhams department store in Sheffield will go under the hammer in the next Allsop residential sale, guided at £4.5m-£5m.
The 213,892 sq ft city centre property is held on a 99-year lease with 42 years remaining at a fixed ground rent of £12,500 per annum (lot 41).
“We feel the asset may benefit from a strategic investor who could potentially unlock and deliver a substantial redevelopment of the site,” said vendor MHA London, which bought the site for £1.5m in March 2021.
The vendor is private propco MHA London, which bought the site for £1.5m in March 2021.
The store was among the final tranche of Debenhams to be closed by administrators in May 2021. MHA has tried unsuccessfully to find tenants for the empty property but has obtained pre-application advice from Sheffield City Council about its demolition to make way for a redevelopment comprising two mixed-use buildings of approximately 22 and 34 storeys. As well as homes, these would include a hotel, offices, shops and leisure uses.
The property, which forms part of the Moor Shopping Centre, is the highest-value lot listed for the 12 May online sale. The 174-strong catalogue includes 20 lots guided at £1m-plus.
Richard Adamson, partner and auctioneer at Allsop, said: “As the market continues to go from strength to strength, we have witnessed a very busy first quarter, demonstrating how robust residential property remains as an asset class for investors.”
Other highlights from the residential catalogue include:
- Lot 32 – a freehold, detached, purpose-built block of 33 self-contained flats with communal gardens and a car park, in Tunbridge Wells, Kent, guided at £4.25m-plus.
- Lot 83 – a freehold building providing 10 self-contained flats and three commercial units subject to a long lease, in Great Missenden, Buckinghamshire, guided at £2.8m-plus.
- Lot 76 – a freehold former office and retail building with planning permission for conversion to a student hall of residence comprising 97 bedrooms, in Portsmouth, Hampshire, guided at £2.3m-plus.
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