£68m deal sees prestigious Liverpool offices exchange hands

One of Liverpool’s most prestigious office developments has been sold in a deal worth £68m.

The deal for the Exchange Flags buildings is one of the biggest in the city for a number of years.

London based property firm Shelborn Asset Management has sold the grade II-listed building to Ashtrom.

The 359,558 sq ft building contains 27,980 sq ft of retail and leisure space and the  18,315 sq ft Western Approaches museum.

The building in the heart of the city’s business district is home to the Fazenda restaurant and the new El Gato Negro tapas venue.

It was the home of Vincent Cafe and Cocktail bar, which was owned by footballer Steven Gerrard.

Tenants included the Secretary of State for Defence, law firm Brabners, DLA Piper, Colliers and managed office business Regus.

Knight Frank represented vendor Shelborn Asset Management while Ashtrom was represented by Parkdales and Mason Owen.

Knight Frank partner Joshua Morris said: “We are delighted to have acted for Shelborn Asset Management on the sale of Exchange Flags.

“The building represents a hugely unique investment opportunity.

“Headline rents for Exchange Flags currently stand at £17/sq ft and are only expected to grow given the city’s strong supply/demand dynamics and the acute lack of good-quality office space in the city centre.”

Ashtrom chief executive Guy Lewinsohn added: “Exchange Flags is an outstanding property and fittingly marks our debut acquisition in the UK.

“We see a bright future for the Liverpool commercial office market and plan to acquire more properties of similar characteristics as we continue to grow our portfolio in the UK.”

The deal has been completed two years after Exchange Flags was bought by Shelborn for £42m from Hudson.

The building was constructed in 1939 and was the command centre for the campaign against the German submarine fleet during World War II.