McLaren forward funds three student accommodation projects in Warwick and Brighton worth £175 million

Student Roost, one of the UK’s largest purpose-built student accommodation providers, and McLaren Property, market leaders in residential and student property development, have agreed a forward funding deal of c£180 million for three new student accommodation schemes.

McLaren Property will deliver a portfolio of 1,387 beds spread over three developments in two prime, regional cities; Warwick and Brighton, to be delivered for the 2021/22 academic year.

One Moulsecoomb Way in Brighton consists of 373 beds, alongside 13,300 sq ft of commercial space at ground level. The Oaks 1 and Oaks 2 will serve the University of Warwick and consist of 378 and 636 beds, respectively.

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John Gatley, CEO, McLaren Property, said: “Our partnership with Brookfield and Student Roost to fund these new student accommodation schemes in Brighton and Warwick is a recognition of the continued strength of the PBSA market. McLaren Property have a strong and established track-record in delivering modern student accommodation, having developed c.5,500 beds across 26 projects.

“We intend for this to be the first of many deals we partner with Brookfield and Student Roost to develop and deliver our further pipeline of over 3,000 beds in prime university UK cities. In addition, we continue to identify further development opportunities in locations that exhibit an under supply of first-class accommodation, coupled with continued student growth.’’

Stephen Rigby, Chief Investment Officer at Student Roost, which is owned by global asset management company Brookfield, said: “I am delighted with the new partnership, which represents significant growth for the business. We turned our focus away from investment stock to new development opportunities around 18 months ago, partly to focus our growth into new cities.

“We’re delighted to be in partnership with McLaren Property on these projects, and equally pleased to be taking our brand to Warwick and Brighton, which are both new locations for Student Roost. They’re both structurally undersupplied markets where we think our brand is well suited, and naturally we are pleased to continue our growth in the prime and super-prime regions.

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“This is our first deal with McLaren, but it’s intended to be the first of many as we work together towards further opportunities in the future.”

McLaren Property work both independently and in joint venture partnerships with sector specialists, with a pipeline of development assets of £1.5 billion.

Student Roost is home to over 19,300 students and currently operates in 19 cities across 50 properties in the UK.