Property firm Eddisons said it has sold the 11,000 sq ft former Yorkshire Bank Chambers in Sheffield city centre — which was once the city’s Stock Exchange building — to S1 Artspace.

The grade II listed building, on the corner of Haymarket and Commercial Street, will be redeveloped as an arts and cultural venue in conjunction with Sheffield Hallam University.

Marketed with a £600,000 guide price, once renovated and extended the property will feature two floors of public galleries.

The space will be used to showcase new works by local, national, and international artists. It will feature artist studios, a community and events space, a research centre, a shop profiling local artists and makers and an independent bar.

Project director Louise Hutchinson described the move as a “monumental step for S1”.

Hutchinson said: “Like many cultural venues in Sheffield, S1 has faced significant challenges operating within the commercial rental market.

“Securing our own premises is a remarkable achievement that allows us to move forward and establish a space that places artistic practice firmly at its core.”

Adrian Lunn, who heads Eddisons’ Sheffield office, said: “We work closely with Sheffield Hallam University, as well as the city council and other public sector organisations in Sheffield and we were thrilled to be able to sell this fantastic city centre building to S1 Artspace.

“Highly innovative projects like this one form essential elements of Sheffield’s regeneration and resurgence as a vibrant, thriving city.

“The arts are helping drive our economy and bring huge numbers of visitors to our city. We will be excited to see the new space when it reopens as another great asset to Sheffield.”