£1.4m funding secures future of historic Danske Bank building in Londonderry

The Department for Communities has allocated more than £1.4m to preserve a landmark 19th-century building in Londonderry city centre. The funding, delivered as a Financial Transactions Capital loan through the North West Regeneration Fund, has enabled the Inner City Trust to acquire the former Danske Bank premises at Shipquay Place, originally constructed between 1860 and 1879.

The acquisition marks the first award under the North West Regeneration Fund, a pilot programme providing £10 million in Financial Transactions Capital to regenerate heritage properties within Derry-Londonderry's Historic Walled City Conservation area. The fund was established as a five-year pilot to unlock regeneration of historic buildings that private funding could not make commercially viable, addressing a significant gap in the city's property market.

Communities Minister Gordon Lyons emphasised the strategic importance of the investment.

It is anticipated that, over the coming months, the building will be fully occupied, supporting economic development in the area and bringing increased footfall to local businesses,

he said, adding that the project underlined his commitment to

preserving our built heritage

and ensuring buildings and communities are revitalised for future generations.

The Inner City Trust, an organisation focused on the regeneration and preservation of Derry's historic buildings, plans to refurbish the property and return it to commercial use. The initiative forms part of a broader regeneration strategy for the city centre, following other significant investments including £5.1m for the Inner Walled City Public Realm Scheme, £1m for the redevelopment of Harbour Square, and £1.2m towards the Inner City Trust's purchase of the former Austin's department store building.

What will happen to the building?

The refurbished premises will operate as a commercial space, continuing its long history as a centre for business activity. Helen Quigley, speaking on behalf of the Inner City Trust, outlined the organisation's vision for the property.

This building has been here since 1860 and 1879 and stands very proudly by our Guildhall, inside our historic conservation area within the city,

she explained.

It has a long history of commercialism going back to Victorian times, and we hope and pray that that will continue going into the future.

Quigley noted that the building's structural condition is sound.

The building is in reasonably good shape, and we are very pleased about that. So, although it will need to be refurbished, it is already looking good from the inside and outside,

she said. The Trust is already in advanced discussions with potential occupants.

We are talking to at least three potential clients at the minute, and we hope that they will have their business cases complete soon. Hopefully, by the end of the year, after the refurbishment, we will have clients moving in.

Why is this significant for Derry's economy?

John Meehan, chair of the Inner City Trust, characterised the acquisition as

a significant investment

in the city's future. He envisioned the building becoming

a new hub for economic development, innovation, and regeneration activity,

with potential to increase footfall and support neighbouring businesses. The project addresses longstanding concerns about vacant heritage properties in the city centre, where businesses have previously warned that building closures and street disruptions have impacted local trade.

The North West Regeneration Fund was announced in June 2025 as a targeted response to the challenge of bringing heritage buildings back into productive use. The bank's Shipquay Place building was placed up for sale on the open market after Danske Bank's move to Ebrington Plaza, where the organisation now operates its customer protection centre alongside its Altnagelvin branch.

Danske Bank Operations Director Vicki Hassan welcomed the outcome.

The agreement will ensure the historic Shipquay Place building will live on and provide future benefit to local people and the local economy,

she said. The bank continues to maintain a presence in the city through its relocated operations.

What happens next?

The project is expected to move into refurbishment and occupation over the coming months, with the building anticipated to be fully occupied. The Inner City Trust's timeline suggests that commercial tenants could begin moving into the refurbished space by the end of the year, subject to completion of business cases and refurbishment works. The success of this project may establish a template for future acquisitions under the broader North West Regeneration Fund initiative.

Key Facts

• The Department for Communities allocated £1.4m through the North West Regeneration Fund to enable the Inner City Trust to purchase the former Danske Bank building at Shipquay Place
• The building, constructed between 1860 and 1879, is a protected historic landmark within Derry-Londonderry's Historic Walled City Conservation area
• The North West Regeneration Fund is a five-year pilot programme with £10m in Financial Transactions Capital available to regenerate heritage properties in the conservation area
• The Inner City Trust is in discussions with at least three potential commercial tenants, with anticipated occupancy by the end of the year following refurbishment
• The acquisition is part of a wider regeneration strategy that has also funded the Inner Walled City Public Realm Scheme (£5.1m), Harbour Square redevelopment (£1m), and the former Austin's department store purchase (£1.2m)