Opened on 2015, the Shankly Hotel in Liverpool was taken over by administrators in April 2020 they have now instructed CBRE to find a buyer for the city centre venue. Tony McDonough reports
Liverpool’s Shankly Hotel has been put on the market by CBRE on behalf of administrators Kroll.
Named after Liverpool FC’s famous manager, Bill Shankly, the hotel in Victoria Street was originally developed by Signature Living in what had been an office building occupied by Liverpool City Council. The hotel was opened in 2015.
CBRE is handling the sale of the hotel on behalf of joint administrators Matthew Ingram and Michael Lennon of Kroll (formerly Duff & Phelps), who were appointed on April 9, 2020. Agents haven’t put a price tag on the the asset but when Signature put it up for sale in 2019 it was seeking offers in the range of £40m.
Offering 125 bedrooms, the Shankly is a standalone seven-storey building situated on an island site fronting Victoria Street, Whitechapel and Crosshall Street. The hotel has surpassed trading expectations by capitalising on group booking packages.
It is is a lifestyle-branded and football-themed hotel comprising 57 hotel bedrooms and 68 apartment style bedrooms with kitchen facilities, sleeping approximately 662 guests in total.
There is a secure 111-space underground car park and a fully-fitted gym which is leased by Liverpool City Council under its Lifestyles brand. There is further development potential to convert the two penthouse apartments into bedrooms and construct a rooftop pool.
In addition to room revenues, the Shankly Hotel generates particularly strong food and beverage revenues through the Bastion Bar and Restaurant, and two meeting / function and events venues that can accommodate up to 500 seated delegates or over 1,000 standing guests and have wedding and civil ceremony licences.
The rooftop bar, known as the Garden of Eden, also generates substantial appeal offering exceptional skyline views across the city. Shaun Skidmore, senior director for operational real estate at CBRE Manchester, said: “We are delighted to bring to market The Shankly Hotel at a time when the UK staycation market remains buoyant.
“Liverpool is the sixth most visited city in the UK with a strong performing hotel market, which benefits from a good mix of commercial and leisure demand. There is pent-up demand for this kind of hotel which can accommodate groups of people keen to unite when restrictions allow.
“While post-COVID domestic holidays continue to appeal to travellers, we expect the UK outlook in 2021 to remain strong with CBRE expecting the hotel sector to fully recover by 2024. As such The Shankly Hotel represents an excellent opportunity.