The City of London Corporation has completed the sale of Wood Street police station in the City of London.
Wood Street Hotel, owned by Magnificent Hotels, has bought the grade II listed building on a 151-year lease and intends to convert it into a five-star boutique hotel, subject to planning permission.
It is understood that the Hong-Kong based company bought the police station for a price in excess of £40m.
The City of London Police declared the station was surplus to operational requirements last year. The City of London Corporation then brought the leasehold property to the market in June via Cushman & Wakefield.
The building will be used by the police until approximately December this year to allow time for the building to be decommissioned.
The station is the second to be sold this year, after Snow Hill station was sold to an investor that will develop it into a new hub by Premier Inn hotel.
The news comes as the City of London Corporation is working up plans for a new flagship facility on Fleet Street.
Improving overnight accommodation in the Square Mile is part of the City Corporation’s draft City Plan 2036.
Sir Michael Snyder, chairman of the City of London Corporation’s Capital Buildings Committee, said:
“The sale of Wood Street offers the opportunity to help meet growing demand for overnight accommodation in the Square Mile, while at the same time taking forward our plans to create a new headquarters for the Police to ensure they continue to deliver a first class service,” said Sir Michael Snyder, chairman of the City of London Corporation’s capital buildings committee.
“As we work towards realising our vision of the City as a 24/7 destination, it is estimated more than 4,000 hotel rooms will be required to meet demand from workers, tourists and residents.
“The announcement of this development is another step in the right direction towards meeting this target.”
William Cheng, chairman of Magnificent Hotels said: “Magnificent Hotels is honoured to have acquired this unique property which provides huge potential to elaborate its heritage by sensitively refurbishing and enhancing the Grade II* listed former Police Station.
“We look forward to working alongside our experienced professional team to convert the building into a deluxe heritage hotel for the public to enjoy.”
City of London Police commissioner Ian Dyson added: “The police station at Wood Street has not been well used by the public and it requires modernisation.
“We will be relocating our policing teams to our Bishopsgate police station over the course of the next year, ahead of moving into our purpose-built, state-of-the-art headquarters near Fleet Street, later in the decade.