Liverpool’s ‘magnificent’ 150-year-old Municipal Building to become four-star hotel

Liverpool City Council’s former administrative HQ is set to be transformed into a four-star hotel by a Singaporean property developer.

Municipal Building was put up for sale last October as the authority sought to find £90m of savings in the next three years.

A report going to the council’s Cabinet next Friday (February 3) will recommend approving the sale of the Dale Street building to international property firm Fragrance Group Limited (FGL), which has a portfolio of over 80 projects overseas.

The deal with the city council marks FGL’s first acquisition in Europe.

The Grade-II listed Municipal Building opened in 1866 and has space for 1,000 employees. However, just 640 council staff are currently based there due to reductions in the authority’s workforce in recent years.

The property is expected to be handed over to FGL in the spring on a 250-year lease.

If granted planning consent, the hotel will include a restaurant.

Cllr Malcolm Kennedy, Cabinet member for regeneration, commented: “Municipal Building has been a magnificent home for Liverpool City Council since the 1860s but we no longer have the staff numbers to justify retaining it.

“I’m delighted we have a buyer of international repute who is looking to use Liverpool to break into the UK and European hotel market. This will have a great impact in terms of generating jobs and boosting our international appeal.”

He continued: “We will work with FGL to ensure that its future use protects the building’s unique architectural features, as we have done with the neighbouring Municipal Annexe and Royal Insurance Building which have also recently been brought back into use as four star hotels.

“The sale will bring in much needed money which we can reinvest in reducing the costs of our capital infrastructure programme, as well as delivering ongoing savings by lowering our overheads.”

The Municipal Building comprises 123,720 sq ft across three floors and a basement.

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