Real estate investor, developer, and asset manager Firethorn Trust has secured a £29.9 mln (€35.9 mln) loan from Leumi UK for its first PBSA scheme.
The 230-bed student housing project, which was acquired in February 2024, is located in Leith, Edinburgh.
The funding will support the construction of a six-storey building including amenities such as a gym, study spaces, and common rooms.
This development will help address the significant undersupply in Edinburgh’s student housing market, aiming for BREEAM Excellent and EPC A ratings.
Edinburgh faces a significant shortage of student accommodation, with a student-to-bed ratio of 3.13:1 and few new projects in development.
Richard Whitby, CFO at Firethorn Trust, commented: ‘The Leith Walk project required a partner that could provide a tailored financing solution to meet our bespoke needs, which is precisely what Leumi delivered. We are delighted to be working with Leumi on this development and are excited about the potential for collaboration on future projects as we grow our Firethorn Living platform.’
Dan Whiteman, relationship director at Leumi UK, added: ‘In many ways, this transaction epitomises what sets Leumi UK apart, as we were able to complete this transaction with great focus on ensuring the lending solution met the specific needs of the sponsor. Firethorn Trust has a strong track record of creating attractive and sustainable spaces, and we look forward to expanding our relationship as it grows its living platform.’
The Leith Walk student housing development is scheduled for completion by the 2026/27 academic year.
Firethorn Trust received advice from Brotherton, BCLP, and CMS, while Leumi UK was advised by Osborne Clarke and MFMac.
