The freehold of the former Three Tuns Hotel in Durham has been sold by Knight Frank's residential agency team on behalf of Durham University, to local property developers Simon Williams and Andrew Ward.
The former hotel is a Grade 2 listed building and comprises of a ground floor retail unit with student bedrooms in the upper floors. The site provides the opportunity for future development with the potential for further ground floor retail spaces and additional bedrooms.
The property is located on New Elvet and is in an area that contains a number of attractive period buildings, including several that are occupied by Durham University.
Most notably the Elvet Riverside buildings are used for academic office and teaching accommodation and Dunelm House, the Student Union.
According to James Platts from Knight Frank, there was considerable market interest in the property in what is becoming a key location for regeneration in the city centre.
Mr Platts also said: "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."