Acquisition and redevelopment of existing purpose built student accommodation
Sold for in 2018
Acquisition of distressed student accommodation close to The University of Dundee. Rebranded Marketgait Apartments, the development provides high quality, state of the art stylish student accommodation with extensive communal spaces.
Located in the heart of Dundee the property is within easy walking distance of the City’s two universities, The University of Dundee and Abertay University, making the property well suited to students studying at both institutions.
- Property acquired in April 2015 from Administrator.
- Development cost £6.7 million:
- Equity investment £2.2 million from Maven Investor Partners.
- Debt of £4.5 million.
- Internal reconfiguration and extensive refurbishment to create 116 PBSA bedrooms, together with communal facilities.
- Completed September 2016, in advance of 2016/17 academic year.
- Operator Agreement with Collegiate AC Limited.
- Property achieved 100% occupancy.
- Sold in October 2018 for £9.5 million.
- 3 year hold period.
- 2.37x return for Maven Investor Partners.
“By identifying the right assets and delivering what students want for an affordable rent, the PBSA sector continues to offer excellent opportunities for institutional and overseas investors. We saw the opportunity to create a high quality, stylish studio product that did not previously exist in the Dundee market, which is evidenced by the consistently high occupancy levels achieved to date.”
Colin Anderson, Partner at Maven