New development pipeline in Aberdeen and Liverpool – 10 October 2014
Unite Students, the UK’s leading developer and manager of student accommodation has acquired two new development sites.
One site is in Aberdeen and the other in Liverpool, and together the projects will add c.1,250 new beds, scheduled to be open in time for the 2017/18 academic year.
The two schemes are expected to achieve returns in line with Unite’s targets for regional development of 9.5 to 10% yield on cost and have a combined total development cost of c. £80 million, representing approximately 60% of the Group’s planned development activity for 2017 delivery. On completion, the schemes are expected to add c.12 pence to NAV per share and c.2.5 pence per annum to EPRA earnings per share.
The sites are in excellent, central locations and will complement Unite’s existing properties in each city very well. Aberdeen and Liverpool are both cities with large and growing student populations which underpin market fundamentals.
Richard Simpson, Managing Director of Property for Unite Students, said:
“We are delighted to have secured two more excellent sites in strong regional locations in line with our development strategy.
“The new schemes will enhance our presence in two of our best performing markets and provide much needed accommodation capacity for the growing student populations. The acquisition of these sites means that we have now secured approximately 60% of our target 2017 pipeline, providing greater visibility of our future earnings growth.”