Mercia Real Estate has secured a £32.5m funding package from Paragon Bank’s development finance division to support the first phase of a 411-room student accommodation scheme in Edgbaston, Birmingham.
Located on Calthorpe Road, the development would involve converting an existing office complex that contains two buildings connected by a link block.
Previously used as offices by HSBC, one of the units will be converted into a 266-bedroom student accommodation scheme, with the other proposed as a further 145 bedrooms, currently being submitted into planning.
Work has already commenced on the initial phase and will be complete by September 2026, enabling students to move in for the 2026/2027 academic year. Mercia Real Estate secured the £32.5m funding to refinance an existing land loan on the two commercial units occupying the site.
Samuel Clark, founder and chief executive at Mercia Real Estate, said: “We will be soon launching our student brand in our inaugural PBSA project in Edgbaston, which will enable us to showcase our unique take on high-quality accommodation to students in Birmingham in time for the 26/27 academic year.”
Simon Dekker, senior relationship director at Paragon Bank, said: “We are seeing more and more demand for high-quality student accommodation and were delighted to be able to refinance the site and provide funding for the project to start.”
See socio-demographic analytics for Edgbaston >>
Image © Mercia Real Estate
Send feedback to Akanksha Soni
Follow Estates Gazette
