Knight Frank’s residential agency team led by James Platts and Adam Greenwood has sold the freehold of the former Three Tuns Hotel, New Elvet on behalf of Durham University to local property developers Simon Williams and Andrew Ward.
The former hotel is a Grade II listed building amounting to over 3000sqm and comprising ground floor retail with existing student bedrooms to the upper floors and the substantial site provides the opportunity for future development for further ground floor retail/A3 and additional bedrooms.
The property is situated on New Elvet, to the east of the prime retail pitch of Durham City, and contains a number of attractive period buildings providing a range of retail, office and service uses including several properties occupied by Durham University, most notably the Elvet Riverside buildings which are used for academic office and teaching accommodation and Dunelm House, the Student Union. The University’s main site is approximately 750m to the south.
James Platts, partner, Knight Frank who led on this transaction, says there was considerable market interest in the property in what is becoming a key location for regeneration in the city centre.
“This is an opportunity to create a sympathetic mixed use development and I’m certain when it’s complete it will add life and vitality to New Elvet,” said Mr Platts.
“Though there has been significant development at the centre of the city such as Prince Bishops and the theatre area, there are large scale redevelopments planned for Milburngate and The Gates on the western side of the city and so development in the Elvet area will provide balance, as well as enlarge, the economic heart of the city centre. With Hotel Indigo planning to open in nearby Old Elvet this will be an area of exciting development to further strengthen a central part of the city.”
Matthew Wright, estates surveyor at Durham University says the sale will allow investment by the university to be targeted at strategically important sites elsewhere in and around the city. “This is good news for the university and the wider Durham City community,” he said.