Unite Students signs joint venture with Manchester Met to deliver 2300 student flats
Purpose-built student flats developer Unite has agreed a new joint venture with Manchester Metropolitan University to develop 2,300 beds at the University’s Cambridge Halls site in Manchester city centre for delivery in 2029 and 2030.
In a statement to the stock market this morning Unite Students said the joint venture will deepen Unite Students’ longstanding relationship with Manchester Metropolitan University, where they have provided beds under nomination agreements for over 20 years.
The Cambridge Street halls, situated on the All Saints campus will be demolished and replaced a new scheme it hopes to complete by September 2029, in a 24-storey tower alongside two 11 storey buildings and an eight storey block, developer partner Unite Students said.
Total development costs for the project are c.£390 million and construction is expected to commence in 2026. Manchester Metropolitan University will own a 30% stake in the joint venture, reflecting the contribution of the Cambridge Halls site.
Unite’s equity commitment is expected to be around £125 million for a 70% stake, which will be funded from internally generated sources, with the remaining funding coming from debt secured against the project.
Work will start this year on the 1990s block which Unite said no longer meets the needs of students and the university will close the existing accommodation.
The move reflects an ongoing shift towards purpose built student accommodation in Manchester, the UK’s second-largest university city with over 100,000 full-time students studying at four universities, with 3.6 full-time students per bed, driving demand for new accommodation (national average: 3.2).
The joint venture will take Unite’s bed numbers over 8,000 beds at completion.
Andrew Fallon, Chief Property Officer, Manchester Metropolitan University, commented: “This joint venture will provide much needed additional purpose-built student accommodation in Manchester, right on the doorstep of our University. The project will not only enhance the quality of housing for students, but also benefit the surrounding community through new health, wellbeing, and retail offerings.”
Joe Lister, Unite Students Chief Executive Officer, commented: “Partnering with Manchester Metropolitan University to redevelop Cambridge Halls and deliver much needed, high-quality and affordable accommodation for 2,300 students is a hugely exciting step for Unite Students. Our joint-venture partnership will provide further support to Manchester Metropolitan University in meeting their accommodation needs at a time of real housing shortage, so they can focus on providing a world-class experience for their students.
“Unite Students is uniquely positioned to help address the shortage of student homes. Our second university partnership underlines the growing attractiveness of our offer to university partners as they seek to unlock the potential of their campuses to deliver new accommodation and access funding. This has the added benefit of freeing up privately rented houses in the community for families.”
