Cohort Capital funds £70m London PBSA acquisition

Cohort Capital has funded a £70m facility for LPH Paddington’s acquisition of Lillian Penson Hall, a 100,000 sq ft purpose-built student accommodation development. The 313-bed, eight-storey building is located in Talbot Square, W2. Cohort underwrote, agreed and closed the transaction in 11 days. Both parties said the deal shows their conviction that PBSA is an asset class that will continue to perform well in the capital. The development will continue to benefit from supply-side restrictions, particularly as the draft New London Plan requires PBSA developers to gain explicit support from universities and designate 35% of rooms as affordable. Matt Thame, founder of Cohort Capital, said: “Throughout the UK, new students continue to outstrip local accommodation supply. Students in the regional areas of the UK, and more so in central London, have been turning to traditional private rentals or renting further afield and accepting the longer commute to campus. The undersupply of stock and growth in student numbers make this latest deal an attractive acquisition facility that we were delighted to provide.” To send feedback, e-mail akanksha.soni@eg.co.uk or tweet @AkankshaEG or @EGPropertyNews Explore and compare the market in W2 >>