PLANS by Lawrence Kenwright to create the city’s first five star hotel with Michelin star restaurant have been thwarted, the Liverpool entrepreneur has claimed.
Kenwright says a £20m bid he made for the magnificent Grade II listed India Buildings was rejected, and instead the Water Street landmark was sold to a rival bidder for £17m.
I reached out to two of Liverpool’s most prominent businessmen
...our plan was to create Liverpool’s first 5 star hotel and Michelin Star restaurant
The man who renovated the former headquarters of Titanic-owners the White Star Line in 30 James Street, and also created the Shankly hotel, has spoken of his disappointment at failing to win the nine-storey block,
But as a consolation prize to itself Kenwright’s Signature Living Group has bought West Africa House, also in Water Street, which it plans to turn into flats.
In a post on his blog Kenwright says he first inquired about purchasing the vast India Buildings last November, describing it as “later edition (sic) to the waterfront’s Three Graces”.
“I was informed by a new agency, Worthington Owen, who were joint agents with CBRE, that India Buildings was to be marketed at £20 million.,” says Kenwright, adding that prior to the current owners, the two previous owners had paid £45m for it.
Lawrence Kenwright wanted to create a five-star hotel and Michelin star restaurant at India BuildingsHe writes: “I gave agents Worthington Owen an unconditional written offer of £20 million, which was exactly what they wished to gain. Worthington Owen came back to me within a couple of days, with a request that I gave them proof of funding, which I did. Our deal was to give them a deposit of £2 million, which should be more than enough to show them my intent to purchase.
“I was then requested to provide further confirmation that I could gain the funds required to purchase India Buildings, so I reached out to two of Liverpool’s most prominent businessmen, with one who can only be described as the UK’s most prolific businessman, after developing one of the nation’s largest companies.
“The businessmen kindly sent the owners of India Buildings proof they could buy the buildings many times over; they even furnished the owners with a letter of intent, which stated they intended to purchase India Buildings with Signature Living as their chosen partner.
“I believed I was now in a position to answer all their doubts and asked, yet again, if my offer was accepted. Not only was I in a position to purchase an iconic building, I was set to go into partnership with two outstanding businessmen. We were now coming up to the Christmas period, and I was told the fund were waiting on another bid.”
“Can you imagine my utter disgust when I was told our offer had not been accepted? Our plan was to create Liverpool’s first 5 star hotel and Michelin Star restaurant, which would act as the last piece of Liverpool’s stunning rise through the accommodation rank and file within the UK.
Read: Review - Carpathia Restaurant, 30 James Street hotel
"I am a Liverpool developer who will always live in this beautiful city. There is so much work we have to do, as a company, to help our city and our council achieve their aspirations with regard to job creation, development and, above all, telling the world how amazing our people and city are.”
Kenwright described Signature’s acquisition of the 6,500 sq ft West Africa House as the next step in its expansion plans “which will see us obtain a number of unused and listed buildings in the city and develop them into grand spaces which can be used and appreciated by the public”.
The building, home to the Bank of British West Africa and a prominent place of business in its heyday currently lies empty apart from Oh Me Oh My, a teahouse situated on the ground floor, as well as being home to a rooftop bar.
"The eight-story building will be transformed into seven floors of luxury one and two bedroom apartments with the same plush luxury feel as our other serviced apartments around the city," he says.
Who has bought India Buildings?
Apart from knowing it is “overseas clients” we don’t know, nor do we know their intentions.
The nine-storey building, containing its famous, marbled Holts arcade and half a million square feet of floor space, sold for £17m, it was revealed last week.
Irish Property investor and developer Green Property, who bought it in 2009, offloaded the Grade II*-listed giant to Lawrence Kenwright's bidding rival, Shelborn Asset Management.
Commissioned by the Blue Funnel line and designed by Herbert J Rowse and Arnold Thornerly, India Buildings is one of the grandest architectural testimonies to Liverpool’s mercantile and shipping past. Built between 1924 and 1932, it contained offices, shops, a bank, a Post Office and for many years was the HQ of the Liverpool Passport Office with thousands of people passing through every day.
The cost of the building in 1924 was £1.25 million (£77.5m in 2016, according to estimates).
Sadly, in 2016, it is 80 percent empty although existing tenants include DLA Piper, Colliers International and the Citizens Advice Bureau.
When fully let the estimated rental value is more than £5m per year. It remains to be seen if its glorious corridors will once again echo to sounds of life other than the solitary footsteps of the security guard.
