UK developer Crosslane has agreed sales of three student accommodation schemes in Newcastle in the north-east of England for a combined amount of £51.5 mln (€57 mln).
Its newly completed St James' House development was sold to an institutional investor for £16.5 mln, reflecting a net initial yield of 6%. The asset was 98% let for the coming academic year.
Crosslane also advised the Victus European Student Accommodation Fund on the sale of St James’ Point Phases One and Two to the same investor for a total of £35 mln, reflecting a net initial yield of 6%.
'Crosslane is pleased to have successfully identified the sites in prime locations in Newcastle and then developed these three student accommodation schemes over three consecutive years delivering 566 beds in the city,' commented Andy Whatson, director of Crosslane Student Developments.
'Our fourth development in the city is expected to be complete for the 2017/18 academic year and will see Crosslane deliver a further 130 beds,' Whatson added.
Whatson said that Crosslane was assessing additional development opportunities in Newcastle.
