Kings House has been sold for £26m and is set to be redeveloped into homes.
The old Brighton and Hove City Council headquarters has been bought by Mortar Nova Grand Avenue - a joint venture between local developer Rego Property and London based Pacific Investment. The Grade-II listed seafront building in Hove was formerly occupied by the council, but staff relocated to Hove Town Hall and Bartholomew House last October to save cash.
Brighton and Hove City Council said the sale will bolster council coffers and go towards funding services.
After an initial bid for the site fell through earlier this year, Kings House went back on the market and generated interest from over 500 parties, with nearly 40 offers.
The council said there was no interest in using the building as office space, but strong demand from residential developers.
Cllr Warren Morgan, leader of the council, said: “This is more good news for the council’s finances, and demonstrates that we were right to make the decision regarding the previous sale agreement that we inherited.
“We have achieved a larger receipt, earlier than previously anticipated. Selling Kings House will save us £2m a year in operating costs, with money already invested in better customer services for residents both online and in Hove Town Hall.”
Piers Beckwith, director of Pacific Investments, said: “This is an iconic building along the seafront which offers an unparalleled opportunity to invest in Brighton and Hove, one of the most attractive locations on the south coast to live and work.”
Ronan Mellett, director of Rego Property, said: “We’re delighted to have been able to acquire this property and look forward to undertaking its refurbishment and redevelopment into a leading residential location.”