NatWest has confirmed a £82.6 million investment in student accommodation across Birmingham, Edinburgh and London. The financing will support the acquisition of Selly Oak Court in Birmingham, Haddington Place in Edinburgh and Glassyard in Stockwell, London.
Together, the three assets provide more than 900 student beds in three of the UK's strongest university markets. Selly Oak Court comprises 329 beds in one of Birmingham's strongest student locations, while Haddington Place provides 240 beds close to Edinburgh city centre and major transport links. Glassyard comprises 340 beds in South London and is predominantly leased to the University of the Arts London.
Safety-led upgrades and refurbishments planned
Michael Goode, Relationship Director, Large Corporate Real Estate at NatWest, said: “Backing responsible investment in existing stock is a priority for us. By partnering with specialist sponsors to deliver safety-led upgrades and targeted refurbishments, we are helping keep high-quality buildings in use and raising the quality of student housing in Birmingham, Edinburgh and London.”
The investment focuses on existing buildings rather than new construction, with plans to improve building quality and sustainability across all three properties.
Partners welcome NatWest's approach
Ricky Kullar, CFO of Rosethorn Capital Partners, said: "It's been great to work with Michael and the team at NatWest again in what continues to be a challenging but opportunistic PBSA market."
Kullar added: "NatWest has a pragmatic and solution-orientated approach to executing transactions, which we experienced first-hand during the acquisition of Spring Mews last year. We're excited to deliver these projects over the coming years, leveraging our in-house asset and development management capabilities to execute our business plans and enhance the quality of these assets for students and investors alike."
Enhancing assets in key university cities
Will Banbury, Head of Origination at Eagle Street Partners, said: "We are pleased to be working with NatWest on these acquisitions, which represent an opportunity to enhance well-located PBSA assets in three of the UK's strongest university cities."
Banbury continued: "Together with Rosethorn, we have a clear business plan to deliver targeted improvements across each property, enhancing building quality, sustainability and the overall resident experience. NatWest's support has been instrumental in helping us complete these transactions and we look forward to delivering high-quality institutional assets."
The deals mark the latest in a series of student accommodation transactions involving the three parties, following the acquisition of Spring Mews last year. The projects are expected to be delivered over the coming years, with improvements aimed at both student residents and investors.
