Derby City Council has sold a former children’s services building at auction for £920,000 – nearly double its original guide price.
The property has been acquired by Godfrey Care, a specialist care provider that manages several residential homes across the region.
Ashtree House was a key site for the council’s children’s services team for many years, serving as a dedicated hub for supervised family visits. A fire at the neighbouring La Gondola site made the building unsafe for continued use and as a result Ashtree House had been vacant since August 2024.
Faced with high maintenance costs and a challenging layout for modern service delivery, the council declared the property surplus to requirements in December 2024.
Kathy Kozlowski, cabinet member for governance and finance at Derby City Council, said: “The decision to sell Ashtree House is part of our ongoing commitment to responsible asset management and achieving ‘best value’ for the people of Derby. Ashtree House has a long and proud history of service, but as our requirements for modern office and service space evolve, it is essential that we make the best use of our buildings and land.
“The capital receipt provides a significant boost to our finances, allowing us to protect and reinvest in the essential services that our residents rely on most. It also paves the way for a private developer to breathe new life into a building that has stood empty, in a way that the council simply could not afford to do.”
Andy Barnes, co-CEO of Godfrey Care, added: “Godfrey Care are delighted to invest in this property as part of our ongoing development of specialist residential care services for people with complex, high-acuity needs in Derby city. Ashtree House will be transformed through a bespoke design and specification tailored to the individual needs of each person we support.
“Godfrey Care are an established and trusted partner to local authorities in the region. The planning, design and construction of our services are based on genuine co-production with local authorities, commissioners, healthcare professionals, families and the people we support. We are excited to bring this collaborative approach to the redevelopment of Ashtree House.”
