The facility has been obtained from a fund advised by DRC Capital.

The last phase is being funded by the refinancing of another Maslow Capital development loan that covered construction of both Steel City and the completed Hythe Mills PBSA project in Colchester, Essex.

The final work on Steel City will add 19 short-let serviced apartments to the existing 324 bedrooms, to be used by parents and friends visiting students. 

It is expected to be completed by spring 2021, although a construction partner is yet to be chosen.

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This follows a £55m development loan secured last week from Maslow Capital for two other PBSA schemes in Loughborough and Nottingham.

Andrew Southern, chairman at Southern Grove and Future Generation (pictured above), said: “The fact that these funding facilities are still coming together, even with Covid-19 wreaking havoc on industry and economies around the world, is testament to the long-term security of the student accommodation sector in the UK.

“We are going to weather this storm and come out of it even stronger, with positive consequences for the incomes of those firms and workers who help us to make these developments a reality.”