The Unite Group plc (LON: UTG), one of the UK’s leading owners, managers and developers of student accommodation, announced today that it has exchanged contracts to acquire a new 620-bed development site in Nottingham.
The direct let development, which is subject to planning consent, will open in time for the 2022/23 academic year. Total development costs are estimated to be £48 million, delivering a development yield in line with the Company’s stated targets.
Nottingham is home to two leading Universities and the development will increase Unite’s presence in the city, enabling it to deliver operational efficiencies. The new site will form part of the Company’s ongoing target of maintaining a development pipeline of c.2,000 beds a year and will be funded from internally generated sources.
Nick Hayes, Unite Group Property Director, commented:
“This latest acquisition reflects our strategy of aligning our business with mid and high tariff Universities in cities where there is strong demand for affordable, high-quality student accommodation.”