Hotel property specialist Colliers has sold the property, in Langstane Place, on behalf of administrator RSM Restructuring Advisory LLP, which was appointed in July 2019. The asset was sold for an undisclosed sum off a guide price of £1.4million.
Planning permission has been granted to convert the former 39-bedroom hotel into 45 accommodation units, which will house students from the University of Aberdeen, North East Scotland College, and Robert Gordon University. The property’s conversion – which is expected to start immediately – is billed as aligning with Aberdeen City Council’s plans for a £4.8 billion regeneration of the city.
Paul Dounis, partner at RSM and joint administrator, said: “The sale and change of use of the vacant Bauhaus building will bring young people back into the heart of Aberdeen, enhancing the vibrancy of the city, creating jobs and supporting economic growth post-pandemic.”
The site is parallel with the city’s main retail thoroughfare of Union Street, and therefore near a wide range of restaurants, bars and live entertainment venues.
Robert Smithson, from Colliers’ Hotel Agency, who acted for RSM said: “We are delighted to have assisted RSM in finding a new use for this property. There has been a number of hotel asset sales taking place for alternative uses in recent times; this is the latest example of a hotel sale taking place with demand from both developers and hoteliers.”