Patron Capital has acquired B16, a 136-bed purpose-built student accommodation scheme in Birmingham, on behalf of its joint venture with Curation Capital.
The jv acquires and refurbishes existing student properties located in towns and cities that are linked with Russell Group or tier-one universities.
The jv has already identified a number of asset management opportunities to drive the value of B16, including the refurbishment of existing units and communal areas, as well as the conversion of unused space to create 16 additional units.
B16 is located near the suburb of Edgbaston. It is within walking distance of the University of Birmingham, Birmingham City University and Aston University.
The jv is funded by Patron Capital’s Fund VI, while Leumi UK has provided an £8.5m loan to finance the acquisition and repositioning of the asset.
Patron Capital investment director Irina Stamate-Rocha said: “Having made the first acquisition for our jv with Curation Capital in Birmingham in 2021, we are pleased to return to the city with our latest deal.
“With three popular universities nearby and an ongoing shortage of student accommodation – a reported shortfall of more than 12,000 beds – we remain just as convinced in the fundamentals of investing in Birmingham now as we did nearly three years ago.
“Looking ahead, the investment case for student accommodation remains compelling and we have a strong appetite for further acquisitions, with a healthy pipeline of assets identified. To that end, we shall be looking to invest at least a further £200m in new assets in the next two years.”
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