Curlew Student Trust (CST) is acquiring three purpose-built accommodation projects in the UK for £63 mln after it received a second equity injection.
Curlew Student Trust (CST) is acquiring three purpose-built accommodation projects in the UK for £63 mln after it received a second equity injection.
Clients of CBRE Global Multi Manager (CBRE GMM) invested a further £41 mln (€50 mln) of equity into CST, which was established in December 2013.
This enables CST to forward fund three new, purpose-built student accommodation assets in Chester, York, and Glasgow, providing 877 new beds. The investment takes CBRE GMM’s clients’ investment in the fund to £82 mln. CST’s debt facility with RBS International has also been extended to £51 mln.
Paul Oliver, CEO of Curlew Capital said: 'This second tranche of equity demonstrates the ongoing demand from institutional investors to gain access to high quality, purpose-built student accommodation. The new assets will complement the existing portfolio, providing greater regional diversification whilst adhering to our strategy of focusing on strong university towns.'
Alex Bignell, head of UK, CBRE Global Multi Manager said: ´We will continue to support the growth of this programmatic venture on behalf of our clients given our objective to build a strong portfolio of purpose-built student accommodation assets. CBRE GMM looks forward to evaluating further investment opportunities with Curlew.'
CST has acquired the York and Glasgow assets from developer Legacy Student Living (Legacy) and Curlew expects to work on further transactions with Legacy as the CST portfolio grows. Legacy has appointed Caddick Construction to deliver York and Ogilvie Construction to deliver Glasgow.
Watkin Jones Group, the developer of CST’s seed portfolio comprising 1,091 beds, is both contractor and developer for the Chester scheme. These schemes are due for delivery in time for the 2015 academic year. Operational and property management will be provided by Fresh Student Living.