Parameters
Loan size From £10m up to £300m
Maximum gearing Up to 90% of cost & 70% of GDV
Margins from 3.8%
We consider each potential development project on its own merits but below gives an indication of some key considerations when appraising a new student scheme.
- Borrower experience in the purpose-built student accommodation sector
- Location of asset e.g. proximity to university / amenities
- Demand for purpose-built student accommodation in the locality
- Potential for supply and demand rebalancing in the near term
- Operator experience
- Viability of exit plan e.g. refinance or sale
"We have a well-established reputation for supporting some of Europe's premier student accommodation projects. We view student accommodation as a defensive asset class, with consistent year-on-year rental growth, well-defined operating costs, and strong demand from institutionally backed platforms looking to acquire completed projects."
