Liverpool’s historic Martins Bank building is to be transformed into a 227-bed hotel after the property was acquired by Principal Hayley Group.
Work will start this year on turning the Grade-II listed property on Water Street into a luxury hotel with a spa and fine dining restaurant, and when complete will bid to become Liverpool’s first five-star hotel.
Principal Hayley Group will plough £50m into the project, which will be scheduled to finish in late 2017 or early 2018.
Martin’s Bank dates back to 1932, when it was designed and built by Herbert James Rowse, and has been owned by Castlewood Securities for the last 20 years, which has also been acquired in the deal.
Castlewood has obtained full planning and Listed Building consent for the proposed development.
Joe Anderson OBE, Mayor of Liverpool, said the scheme would be a landmark development for the city and was a signal of its growing reputation as a global tourist destination and as a centre for exhibitions and conventions.
Tony Troy, Principal Hayley Group’s CEO, added: “The Martins Bank building provides us with a strategically important presence in the heart of the Liverpool market, where there is a clear consumer need for a full-service luxury hotel and events space.
“Following a very successful year in 2015, we are looking forward to undertaking the redevelopment of this wonderful building – together with the development of our other key city centre ‘grand-dame’ hotels – and to sharing our exciting plans for the future.”
The acquisition follows a wider £100m strategic repositioning of Principal Hayley Group’s other city-centre properties, which saw extensive refurbishments at both The Royal York Hotel in York and The George Hotel in Edinburgh.
An additional multi-million-pound investment is planned for Principal Hayley Group’s manor-house conference properties in 2016.