New hope for Liverpool's landmark George Henry Lee building as owner vows to safeguard 'strategic asset'

Liverpool's landmark George Henry Lee building could be set for a new lease of life as a new owner has taken on the site vowing to safeguard its future. Concerns arose in 2024 that a £25m scheme to rejuvenate the former department store in Liverpool city centre might fall through after the company behind the plans hit financial troubles.

In October 2023, Landlab Developments Ltd obtained planning consent from Liverpool City Council to repurpose the Basnett Street site into a 175-room hotel and casino. A design and access statement for the planning application noted that although the site was once a "very grand" department store, the interior of the building was in poor condition.

The statement detailed how the site had undergone what it termed "a number of ad-hoc alterations, piecemeal demolitions and extensions here and there."

Additional features proposed for the hotel included a games bar, sports bar, karaoke booths, cinema screens and a gym, spread over nine floors.

Expectations were high that the firm would deliver the venue, with 200 jobs set to be supported during the construction phase. However, Landlab entered receivership in May, putting the renovation plans at risk, reports the Liverpool Echo.

May 2024 saw the insolvency specialists Antony Batty and Company stepping in as the official receiver for Landlab. The receivership ended in December when AssetStone, a London-based lender, stepped in to rescue the firm, assuming control of its assets, including the leasehold of the iconic former George Henry Lee building.

AssetStone is now asset managing the building, as it works on plans for its future

AssetStone's CEO, Richard Symonds, said: "I can confirm that AIEF AssetStone took control of the property after we became mortgagee in possession in December 2024. We are actively asset managing the building as we recognise its importance to Liverpool city from both a heritage perspective and as a strategic asset key to building a sustainable future for the city centre and we are working closely with the city on this project so as to avoid any further failed proposals in such an important location."

George Henry Lee opened his shop in Basnett Street in 1853 and the small store grew into one of the top department stores in the North, with its own landmark home, It was bought by John Lewis in 1940.

In the 1960s, it joined forces with its neighbouring store, Bon Marche, extending to Church Street. It was rebranded as John Lewis in 2002, and six years later the store moved to Liverpool ONE. The former Bon Marche premises was taken over by TK Maxx, while the original section of the George Henry Lee building was occupied by Rapid Hardware - which itself closed in 2017.

AssetStone is currently formulating plans for the future of the building. The company told the ECHO that a shoe store will be the first new tenant on the ground floor, with an announcement regarding the opening date to follow in due course.