Curation Capital secures £33m loan for Newcastle PBSA acquisition
Leumi UK has agreed to provide a £33m loan to Curation Capital to acquire and refurbish a 416-bed purpose-built student accommodation development in Newcastle.
Curation Capital, a subsidiary of Steyn Group bought the £28.7m asset from IP Investment Management last month.
IPIM, a Hong Kong-based living sector real estate fund manager, had acquired the PBSA scheme in 2018 as a value-add investment and added 30 beds to the scheme, as well as replacing the operator.
Leumi UK has agreed to provide a £33m loan to Curation Capital to acquire and refurbish a 416-bed purpose-built student accommodation development in Newcastle.
Curation Capital, a subsidiary of Steyn Group bought the £28.7m asset from IP Investment Management last month.
IPIM, a Hong Kong-based living sector real estate fund manager, had acquired the PBSA scheme in 2018 as a value-add investment and added 30 beds to the scheme, as well as replacing the operator.
The building, in Newcastle’s Quayside area, comprises 85% en suite rooms and 15% studios. It also includes amenities such as a cinema room, laundry facilities and bicycle storage.
The deal marks the fourth completed student accommodation deal between Leumi UK and Curation Capital parties.
Christopher Stallard, relationship director at Leumi UK, said: “Our continued partnership is a great indication of the support we provide to our clients.
“This is especially crucial in the student accommodation sector, where timely completion is essential to accommodate students before the start of their first term at university.
“Newcastle has two highly regarded universities and is a market that is underserved in purpose-built student accommodation, with Savills estimating that around 3/5 of full-time students are not catered for.”
Stephenson Harwood provided legal counsel while Savills advised on valuation for Leumi UK.
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