Royal Armouries Museum site for sale

The ground lease of the site of Royal Armouries National Museum in Leeds is to go on the market for over £11m.

The Canal & River Trust has appointed Avison Young to list the 12.36-acre Leeds Dock site for £11.69m, subject to two 999-year ground leases.

The museum’s lease is secured by a non-departmental government body, funded by the Department for Culture, Media and Sports, for the next 971 years, which Avison Young says provides “an unprecedented level of secure income” to the new landlord.

According to the listing, the purpose-built Royal Armouries Museum generates an income of £591,500 a year. Along with a 1.41-acre outdoor events space, known as The Tiltyard, it forms zone one of the site.

Zone two contains a multi-storey car park, a hotel, residential apartments, office space and New Dock Hall conference centre.

“Royal Armouries National Museum is a high profile, iconic building, and it’s rare to be selling a development of such national importance that also benefits from leases of over 900 years on unexpired terms,” said David Winterbottom, principal at Avison Young.

“We expect a lot of interest in the asset from a mix of traditional investors, together with some high-net-worth individuals who will be attracted by the opportunity, which is underpinned with long-term income, vacant possession value and sub-income from underleases.”