In its most recent facility, Investec provided a £19.4m senior loan for the development of a 391-bed purpose-built student accommodation (PBSA) scheme in Cardiff (pictured above).
The loan was provided to a joint venture between Crosslane Property Group and Harrison Street Real Estate Capital LLC.
“This latest facility by Investec builds on its market-leading experience and expertise within the [PBSA] sector, having committed over £500m of funding to PBSA transactions during the last four years and supported the delivery of [circa] 14,000 beds across the country,” said Erin Clarke, relationship manager at Investec Structured Property Finance.
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“Despite wider market volatility, we continue to see strong demand for well-located, good quality student accommodation schemes, such as this one in Cardiff.”
Erin claimed that it remained confident that the UK would continue to retain its reputation as a global leader in the provision of higher education, attracting a diverse range of both domestic and overseas students who increasingly required desirable accommodation.
The joint venture between Crosslane and Harrison Street – which was announced in January 2018 – originally included the development of four new PBSA developments in Leeds, Coventry, Portsmouth and Swansea, of which Investec has funded the latter three.
Following this latest deal, Investec has committed nearly £80m of development debt to the joint venture during 2018.