The global PBSA provider will use the funds for the full refurbishment of the existing property to deliver 60 self-contained studio units.
The development is centrally located in Bloomsbury and will be within walking distance of the University of London, Birkbeck University and SOAS.
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To date, Investec has provided Scape and its partners with over £150m of senior debt funding, across five schemes.
Since the start of 2015, the lender has originated £677m of funding in the PBSA sector to a range of UK and global institutions, financing more than 16,000 beds across 23 university cities.
Shane Ryan, part of the structured property finance team at Investec, commented: “This is a high-quality development in a prime London location which is well placed to further meet the demands of London’s student population.
“Despite short-term uncertainty affecting the sector, the city’s enduring international appeal and challenging planning restrictions continue to underpin favourable supply-demand dynamics.
“We remain steadfast in our conviction that the PBSA sector will continue to be a sought-after asset class by both UK and global investors, attracted by its long-income characteristics and attractive pricing.”
Adam Brockley, founder and global CDO at Scape, added: “We are delighted to have completed another deal with Investec and continue to be impressed with the speed with which they can transact in complicated situations.”
The scheme is set to be finished to a high-quality specification throughout, with emphasis on communal space for students to share and socialise with their immediate neighbours.
Amenities will include a large break-out reception area, laundry rooms and outdoor area.
The PBSA developer has over 30,000 beds in operation and development across the UK, Australia and the USA.