It is a post code for a specific building/business, and it is therefore also a valid address. It
will work. However, it is not the recommended address, which is:
Royal Mail
Sheffield Delivery Office
Pond Street
Sheffield
S1 1AA
For large businesses to get discounted posting rates they must use the recommended address, presumably the redundancy makes for more reliable OCR and less effort for the postman at the point of delivery.
It's fairly common to use the abbreviated addresses when handwriting a return address.