Bank of America Merrill Lynch is the frontrunner to underwrite Goldman Sachs’ and Greystar’s £500m purchase of the Westbourne student housing portfolio.
A five-year loan of around £350m has been agreed, reflecting a loan-to-value ratio of 70%, at a margin slightly above 200bps.
Lenders including Wells Fargo, MetLife and Citi also bid for the portfolio.
A deal was agreed in March for the purchase of the 12-asset, 5,867-bed portfolio from Oaktree Capital Management-backed Knightsbridge Student Housing.
The portfolio is comprised of Dorchester House in Bournemouth, Neuadd Willis in Bangor, Magenta House and the Costume Store in London, the Stephenson Building in Newcastle, Astor House in Plymouth, Studios 51 and The Penworks in Birmingham, The Pavilions and Hayes Wharf in Lincoln, Abacus in Brighton, The Castings in Huddersfield and Alice House in Oxford.
