Real estate finance specialist, Maslow Capital, is facilitating the development of two student accommodation schemes in the heart of Leeds and Lancaster with a finance package totalling £68 mln (€79 mln).
Two loans will enable a JV between H.I.G. Realty Partners, the dedicated real estate investment affiliate of H.I.G. Capital, a leading global alternative investment firm, and Primus Property Group, an experienced developer specialising in the development of Purpose-Built Student Accommodation assets, to deliver a total of 790 student beds across two university cities.
Some £36 mln will be allocated to the development of a ‘world-class student accommodation scheme’ in Leeds. This scheme will introduce 402 studios optimally in Regent Street, less than a mile east of Leeds City Centre.
A further £32 mln will finance a second student accommodation scheme in the city of Lancaster. This project’s riverside setting will introduce a further 388 studios. Both projects have games rooms, common living areas, private dining rooms, group study spaces, cinema rooms, gyms, yoga studios, and vibrant outdoor social areas.
In Leeds, the number of international students has risen by 54% since 2015, while Lancaster has experienced a 19% increase.
The H.I.G. Realty Partners and Primus Property Group JV was advised by JLL.
Sky Mapson, director, deal origination at Maslow Capital, said: ‘Our extensive experience in the sector, having funded a significant number of student accommodation schemes resulting in the creation of 3,916 student units since our inception, underscores Maslow's steadfast commitment to supporting the development of high-quality living sector assets in locations where demand exceeds supply.’
Rachael Gordon, head of deal execution added, ‘The notable increase in the international student population in both Leeds and Lancaster has intensified the demand for high-quality student accommodation in these cities.'
'The early reservation of properties and the heightened demand for homes within walking distance of universities are trends apparent in both cities. With esteemed universities experiencing a surge in enrolments, the supply of purpose-built student accommodations is pivotal.’
Maslow Capital is part of the Arrow Global Group, a leading European vertically integrated asset manager specialising in credit and real estate.
