The property developer announced the acquisition of the freehold of the neogothic-style former Welsh Baptist Church on Upper Brook Street at a cost of £1m excluding fees.

The location has planning permission for a 93-bed residential development.

The company told investors that it was currently negotiating with a potential developer on a forward-funded development contract for the site.

Paul Hadaway, chief executive of Empiric Student Property, said: “Manchester has the largest full-time higher education student population outside London.

“As well as the two main universities, University of Manchester and Manchester Metropolitan University, the city is home to several smaller institutions such as the Royal Northern College of Music.

“This is an opportunity for Empiric to gain a presence in this important student centre, with the development of an impressive and historically significant building.”