A prime office building in the centre of Cardiff has been brought to market with a £9.5m price tag with the potential for its upper floors being turned into residential.
Eastgate House, which was built in the 1970s and under went a £2m plus internal and external refurbishment investment in 2018, is being marketed by the Cardiff office of property advisory firm Savills.
The freehold interest in the building has been put up for sale by Maya Capital. It acquired the building in 2015.
Eastgate house, which extends to nearly 95,000 sq ft, is currently around 50% let and generates an annual rental income of £661,788 per annum.
A recent detailed pre-application enquiry to turn its upper floors - from the fourth to its top 13th - into a co-living scheme providing 117 beds, was lodged with Cardiff Council. It concluded that the principle of the development would be considered subject to the passing of the relevant sequential tests.
Savills, in its marketing brochure for the building, say: “Based on this feedback it has been suggested and is reasonable to conclude that the local planning authority would adopt a similar view on other forms of residential accommodation as well as co-living.
“A full planning application for the conversion of the building to residential use would need to be accompanied by all relevant documentation if a future buyer were to consider this option.”
Savills said there is strong interest in the building including from those with residential plans, but also from those looking to maintain its current office space offer.
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The building’s current tenants offices for the Secretary of State for Communities, ITEC Training Solutions. Domino’s occupies retail space on the ground floor.
The asking price of £9.5m is exclusive of VAT.