£9m deal agreed to fund acquisition and refurbishment of student accommodation
A Manchester purpose built student accommodation scheme is being acquired and refurbished following a £9.26m loan.
Specialist property lender Leumi UK has provided Patron Capital, in a joint venture with Curation Capital, both based in London, with the facility loan to fund the acquisition and refurbishment of Ladybarn House, an established 117-bed scheme in Fallowfield.
Refurbishments are to be undertaken to reconfigure the existing rooms, improve student amenity and improve the building’s ESG credentials.
The asset is well located in the popular student district of Fallowfield, which is within walking distance of the University of Manchester and Manchester Metropolitan University.
The funding was completed within a challenging 28-day exchange and completion timetable.
Back in December 2022, Leumi UK approved and facilitated a £8.29m acquisition and refurbishment loan with Patron Capital and Curation Capital for an existing PBSA scheme in West Hampstead.
Stephenson Harwood acted for Leumi UK on the legals with Savills providing valuation advice and Gardiner and Theobald providing construction advice.
Chris Stallard, at Leumi UK, said: “Patron Capital and Curation Capital are a well known client of Leumi UK, and we’re pleased to have been able to work with the team again to provide a loan facility for this fantastic PBSA acquisition and refurbishment project.
“With the number of young people attending university steadily increasing, combined with tenants’ greater insistence on environmentally-friendly housing, PBSA assets such as Ladybarn House will be instrumental in meeting the growing demand and ensuring a bright future for both students and universities.”
Keith Breslauer, managing director of Patron Capital, said: “Manchester is home to two of the UK’s largest universities, including the University of Manchester, which is the largest university in the UK by full-time student enrolment.
“Unfortunately, the current supply of PBSA accommodation in the city only covers 24% of the total student numbers.
“With this deal, we will be looking well into the future, ensuring that students will be able to stay in high quality, energy-efficient housing for years to come.”
