Capital & Centric, backed by Ares Investment Management, is understood to have bought the Place Aparthotel near Piccadilly Station, and has submitted an application to refurbish the block, rebranded London Warehouse.
The project is the latest in a series of schemes to be brought forward by Capital & Centric in the Piccadilly area. The developer is working in partnership with Henry Boot Developments to deliver the £200m Kampus on Aytoun Street, also funded by Ares. Last year C&C bought the 200,000 sq ft Crusader Works warehouse complex to convert into flats.
A planning application has been submitted to Manchester City Council by Archer Humphryes Architects, seeking permission for The Place to be refurbished and reconfigured to create 166 apartments, in a mix of studios, one-bedroom and two-bedroom units. There are currently 102 flats in the warehouse, alongside a bar, reception and conference facilities. The main entrance is off Ducie Street.
Capital & Centric and Ares bought the hotel from Goldman Sachs and Greystar, who purchased the asset as part of a £290m portfolio formerly owned by collapsed student accommodation provider Opal Group.
The hotel was understood to have been valued at around £30m. The red-brick building is grade two-listed, and was built in 1865 by the Manchester Sheffield & Lincolnshire Railway for use as a bonded warehouse.
Adam Higgins, co-founder of Capital & Centric, wouldn’t be drawn on the proposals but confirmed that the application had been submitted, and said “the refurbishment of the building will form a key plank of the City Council’s ambitions for the wider Piccadilly area”.