Jones Lang LaSalle has been instructed by the Homes & Communities Agency to market a vacant 14-storey block of flats overlooking Liverpool's largest park.
Mere Bank was built in the 1960s and contains 58 flats. The HCA is seeking a bidder to refurbish the vacant properties for sale or to let on the open market.
Housing association Arena had an option to redevelop the tower for social housing but failed to agree a funding deal with Liverpool City Council and the option lapsed in 2008.
The tower stands between Greenbank Lane and Greenbank Drive close to university halls and Penny Lane.
An asking price has not been quoted.
Chris Prescott, director of Jones Lang LaSalle in Liverpool, said: "Mere Bank represents an attractive development opportunity in one of Liverpool's most desirable residential areas. We've already received significant interest and anticipate achieving a good value for the asset.
"The scheme will bring a vacant property back to the open market at a time when we're seeing increased activity from residential buyers and investors."
The deadline for tenders is 5 April 2013.