Student accommodation schemes in Edinburgh and Glasgow are pushing ahead after Investec agreed to provide North American investor and developer CA Ventures with an eight-figure funding injection.
Almost 900 beds will be provided across the purpose-built developments in Scotland’s two largest cities, as well as a third scheme in Sheffield.
The £64 million agreement marks Investec’s largest purpose-built student accommodation loan to date.
The Glasgow scheme, which will deliver 422 beds, is adjacent to the University of Strathclyde, while the 216-room Edinburgh development benefits from its close proximity to Edinburgh Napier University and the University of Edinburgh.
Shivani Goolab, at Investec Structured Property Finance, said: "We are very excited to be working alongside a leading student living provider with an enviable track record in the US, as it looks to break into the UK market.
"We believe that our experience funding a range of market-leading developers across 41 schemes positions us to play a valuable role in supporting CA Ventures’ overseas expansion strategy.
"Despite its relative maturity versus other alternative use classes, we continue to view the sector very favourably. There remain significant pockets of the UK where there is a chronic undersupply of student beds, a trend we expect to continue being supported by favourable economic factors including a weak pound and low interest rates."