A transformative £10m redevelopment of Mill Hall, a cherished Grade II listed mill in Lancaster’s Canal Quarter, is set to breathe new life into the historic site and act as a catalyst for the long-awaited regeneration of the surrounding area.

Owned by Afar Group Ltd and managed through Unipad Management Limited – both under the ownership of local developer Anas Mister – this ambitious project will modernise an existing student accommodation block that has fallen into disrepair, delivering significant benefits for local residents, creating jobs, and preserving the city’s industrial heritage.

As new custodians of Mill Hall since 2021, Afar Group Ltd and Unipad Management Limited have already demonstrated their commitment by replacing all 115 windows with new double-glazed timber windows at a cost exceeding £500,000, enhancing the building’s energy efficiency and preserving its historic character.

Built in 1819 as a steam-powered worsted mill and later adapted into student housing, Mill Hall has stood as a symbol of Lancaster’s industrial past.

An artist's impression of how Mill Hall could look.

placeholder image — An artist's impression of how Mill Hall could look.

However, decades of neglect have left its facilities outdated and the building vulnerable to vandalism. Rather than introducing new student housing, this £10m investment will revitalise existing student accommodation no longer fit for purpose, ensuring its sustainable future without adding to local concerns about more student housing.

Previous redevelopment proposals for Mill Hall were refused due to unsuitable designs, particularly the scale and materials of proposed extensions.

This newly submitted plan, designed by Zub Architecture, aims to address those concerns with a more sensitive approach. The redesigned three-storey front extension aims to respect the mill’s heritage, whilst providing a functional link to the adjacent annexe.

A standout feature is the transformation of a neglected upper garden into a stylish outdoor café, open to both students and the public, accessible from the canal.

An artist's impression of how the cafe at Mill Hall could look.

The redevelopment will replace outdated rooms with 62 luxurious spacious en-suite studio apartments.

The project will create numerous jobs for the local economy, from construction roles during the build phase to ongoing positions in the management and operation of the property.

Additional amenities, including a communal gym and meeting space, will enhance the site’s functionality. These upgrades ensure Mill Hall remains a secure and vibrant asset. Its sustainability will be guaranteed as the new proposals also offer flexibility for hotel or short stay use.

The surrounding Canal Quarter has been a priority for Lancaster City Council’s regeneration efforts, with plans to revive its 6.5 hectare area of derelict land into a thriving neighbourhood.

By attracting significant investment and revitalising a prominent landmark, the plans aims to stimulate local businesses, encourage further development, and support the council’s vision for a vibrant commercial and cultural centre along the canal.

“This £10m project is a game-changer for the Canal Quarter,” said Anas Mister, owner of Afar Properties Limited and Unipad Management Limited. “As custodians since 2021, we’ve already invested over £500,000 in new windows, and with Zub Architecture’s creative design, we’ve crafted a sympathetic extension and added a café to bridge locals and students, whilst creating jobs and laying the groundwork for the area’s transformation.”