Vita gets £191m funding for 500,000 sq ft co-living scheme
Cain International and PGIM Real Estate have agreed a £191m loan to finance Vita Group’s 500,000 sq ft co-living development in Manchester.
Union, which will be built across two towers, is located within the wider £1bn St John’s redevelopment site. It is expected to deliver 1,676 bedrooms, 131 of which will be affordable.
Investment firm Cain will provide £148m in financing, while PGIM will add £43m.
Cain International and PGIM Real Estate have agreed a £191m loan to finance Vita Group’s 500,000 sq ft co-living development in Manchester.
Union, which will be built across two towers, is located within the wider £1bn St John’s redevelopment site. It is expected to deliver 1,676 bedrooms, 131 of which will be affordable.
Investment firm Cain will provide £148m in financing, while PGIM will add £43m.
Plans include a library, co-working space, private dining facilities, an electric pool car programme, bike storage and rental scheme, and an events space.
Construction of the towers is under way, with Renaker appointed as the main contractor. Tower 1 is expected to complete in spring 2024 and tower 2 is expected to complete in the summer of 2025.
Graham Keable, principal at Cain, said the firm has been “steadily increasing” its exposure to “key UK markets in recent years”. He highlighted the “highly attractive” fundamentals supporting higher education and BTR in cities.
Mark Stott, chief executive of Vita Group, said: “Union has been designed to mobilise the next generation of young professionals, creating a product which provides the perfect blend of amenity, service and space in a sought-after location and at a price which is accessible.
“Having financial partners Cain and PGIM Real Estate on board with this project ensures that Vita can focus on future developments and growth opportunities.”
Overall, St John’s will offer 320 hotel rooms, 560,000 sq ft of office space, 240,000 sq ft of retail and 13 acres of public realm.
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Photos courtesy of SEC Newgate
