Unite Students has forward funded a £34m student accommodation development in Durham through its Unite Students Accommodation Fund.
The property, which will house 363 students, is expected to deliver a yield on cost of 6.4% in its first year when it opens in September 2018.
It was funded with proceeds from Unite’s recent disposals, which include the £135m sale of Woburn Place, WC1, to GCP Students earlier this month.
Unite has planned to take advantage of the ongoing strength of the investment market by recycling £150m-£200m of assets in 2017.
Richard Simpson, group property director at Unite, said: “This latest acquisition further extends our high-quality development programme in a strong regional location where there is strong demand for purpose-built student accommodation.
“Our strategy remains focused on high quality universities like Durham, where we see sustainable growth.”
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