Karis Capital has arranged a £25m development loan for joint venture partners Zenzic Capital and Torsion Group to deliver a 183-bed student accommodation development on Burley Street in Leeds.
The funding will help the jv deliver on its plans to build a portfolio of student properties with a total development value of £500m.
Nadine Buckland, chief executive of Zenzic Capital, said: “The loan structure achieved allows the jv to deliver this exceptional project, which will play a major role in meeting the rapidly growing demand for premium student accommodation across Leeds.”
Nicholas Christofi, chief executive and co-founder of Karis Capital, added: “When we were approached by the jv partners on this project we could immediately see the potential in the final product. This was a major factor in securing the best possible terms, which will afford the project team the freedom and flexibility to concentrate on delivering a market-leading development.”
Zenzic and Torsion have five schemes together, which will deliver more than 800 student bedrooms across Leeds, Nottingham and Warwick. The Burley Street project got the go-ahead late last year. The scheme are scheduled to be ready for occupation for the 2025/26 academic year.
The news comes after Torsion closed a £57m deal with Investec Bank to refinance two towers in Leeds, consisting of a build-to-rent and build-to-sell scheme.
The facility repaid the existing lender while funding outstanding development costs, before it was flipped into a term loan.
GL Capital advised Torsion on the £57m refinancing deal.
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