Investec backs London student digs sector with €42m Tribe loan

It represents Tribe’s first ground up student development project, in a sector which saw investment volumes return close to pre-pandemic levels in 2021 and is forecast to be worth £72 billion by the end of 2022.
 
The scheme will comprise 250 high specification units comprising 137 private ensuite units, 25 studio units and 88 affordable ensuite units. The scheme will feature generous onsite amenities and collaborative workspace, as well as 58 affordable residential units and 12,500 sq ft (1,160 m2) of commercial space.
 
The development facility with investment tail is Investec’s first with Tribe, although Investec has worked with one of the borrower’s founders for a number of years who is a key client across the bank. Since the start of 2015, Investec has committed over £850 mln to the PBSA sector, financing more than 18,500 beds across 50 schemes.
 
Ian Burdett & Stuart Scott, Investec Real Estate, commented: ‘Student accommodation has been a strong sector for Investec in recent years and we remain bullish on its outlook, especially in London where this latest scheme is well located to benefit from the market’s structural undersupply and continued demand from domestic and international students.’
 
Laurence Quail, managing director at Tribe, added: ‘We are delighted to be working with Investec on the delivery of this exciting new scheme, which we’ve carefully designed to best meet the needs of today’s students for well located, high quality, good value for money accommodation. Tribe is actively growing with in excess of 1,000 further beds already in the pipeline across London.’
 
Founded in 2020 by a senior team with over 25 years development experience in the UK private housing sector, Tribe aims to ease the shortage of good quality affordable accommodation for London’s students. The company is currently progressing with five sites including the subject scheme.