Site of former royal infirmary is sold

A 98-unit residential investment opportunity in Sheffield has been sold.

Knight Frank’s Residential Investments team has sold Heritage Park – a freehold opportunity which consists of 98 units across three blocks; two of which are Grade II listed. Land with planning permission for an additional 35 units is also included in sale.

Overall, the sale represents an ERV of £870,000 on the blocks, and a gross yield of 7.4%.

The site was originally the Sheffield Royal Infirmary, which opened in 1792. Original buildings Heritage House (Grade II* listed) and Round House (Grade II listed) were redeveloped in the 1980s to office accommodation. They have now undergone conversion into residential accommodation, with 55 units and 7 units respectively.

Victoria House is a purpose-built office building that has been converted into 36 residential units. Planning permission has been granted for a new building to be constructed on the car park adjacent to Heritage House, comprising 35 units.

Hannah Badger, Senior Surveyor at Knight Frank, said:  “This deal represents the current appetite for private rental stock in Sheffield which is a market that has been predominantly been monopolised by student development in the past few years”.

Heritage Park has been developed by Midlands residential development specialists, Mabec. The site is situated within walking distance of the Sheffield City Centre, but is also well served by the local road, tram and network.