Olympian Homes and Housing Growth Partnership (HGP) have formed an equity Joint Venture (JV) to deliver a 790-bed Purpose Built Student Accommodation Scheme (PBSA) in Nottingham city centre.
The scheme, which will also include 19 affordable homes, has a Gross Development Value of £120 mln (€140 mln).
Known as ‘Forest Mill’, the PBSA scheme will comprise 790 beds across three buildings. Features will include a Café & Co-Working Space, games area with table tennis, air hockey, fussball, shuffleboard, private dining, gym, yoga studio, cinema room, gaming booth and a garden terrace.
The site adjacent to the PBSA blocks will see the delivery of 19 affordable homes.
Having acquired the site in September 2021, Olympian secured planning in June 2022. RG Construction has been awarded the build contract for the PBSA element and Tanbry Construction the affordable housing element. Enabling works began in July 2023 and main construction will start in December 2023, with completion scheduled ahead of the 2025/26 academic year.
James Lindridge, development director at Olympian Homes, commented: 'The transaction is our second Olympian PBSA funding completion of 2023 and demonstrates the high level of investor confidence in the UK PBSA sector despite the turbulent macro-economic backdrop. We have enjoyed working with HGP and believe this will be the start of a strong, long-term partnership.'
Colin Bennett, Investment director, HGP, added: 'Forest Mill is landmark transaction for HGP, representing our third, and largest, equity investment in the PBSA sector to date. Having recently supported new developments in Glasgow and Dundee, we have strong appetite to grow our exposure in the sector, supporting the delivery of high quality schemes in critically undersupplied UK university cities.'
Olympian Homes was advised by JLL Living Capital Markets and Freeths and HGP was advised by Shoosmiths.
