Empiric Student Property has acquired the freehold of a student accommodation in Durham for £5.1m.
The building, St Margaret’s Flats, was built in 1994 and has 109 beds in five-bedroom flats across five blocks. It has high levels of occupancy and is fully let for the 2915/6 academic year.
Empiric plans to enhance the property over the coming year to improve the rental possibilities.
Empiric chief executive Paul Hadaway said: “The University of Durham is one of the UK’s oldest higher education institutions and is ranked 6th in the Times Good University Guide 2015. Durham University Business School also enjoys a strong reputation internationally with its highly regarded MBA programme.
“While student numbers are growing steadily, planning permission for new student accommodation developments in Durham is now difficult, which is increasing the demand/supply imbalance. We are, therefore, very pleased to have acquired St Margaret’s Flats, in a prime location and on a high yield, with the potential for further enhancement in the future. The acquisition is accretive to Empiric’s investment criteria and returns profile.”
