University Partnerships Programme has completed a £104.7m deal with the University of London for a 511-bed student housing development in Stratford, E15.
Duncan House, on Stratford High Street, will also include 44 residential flats, 33,906 sq ft of academic space, 404 cycle spaces, roof gardens and a sky lounge.
The investment will include £86.8m of senior debt from the Pension Insurance Corporation and £17.9m of subordinated debt and equity from UPP.
Assured Guaranty will provide an investment grade AA-rated wrap to the 46-year index-linked loan provided by the PIC.
The deal represents the second partnership between the university and UPP, following the completion of Garden Halls in Bloomsbury, WC1, in September.
The scheme forms part of the university’s plan to correct a historic shortfall in residential supply and free up capital to invest in teaching and research.
Chris Cobb, pro vice-chancellor (operations), chief operating officer and university secretary of the University of London, said: “It’s the first major property that we’ve acquired in 50 years and the first outside central London. This investment continues our trajectory of offering students quality accommodation which balances affordability with low travel times to their place of study.
“It also continues our commitment to modernise and expand our property portfolio to meet the needs of future generations of students.”
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