The 84,000 sq ft office building at 7 Charlotte Street in Manchester city centre has been bought by British Airways Pension Fund for around £21m, reflecting a net initial yield of 6.5%.
Tenants in the 16-storey building include Watts Group, Aldermore Bank and Slater & Gordon, with rental income totalling £1.5m.
Built in the early 1960s as a mixed-use office and retail development, the building was once home to the St James Club, and had several floors of club rooms, bedrooms, squash courts and a swimming pool. The tower is in the same area as City Tower and Manchester One.
The property has been owned by Altrincham-based Stephen Elias since 2001 and underwent a major remodelling and refurbishment in 2005.
The building was marketed by JLL and WHR.
A spokesman for BA Pension Fund confirmed the acquisition.