Student accommodation developer Unite Group is pushing ahead development plans with the proceeds of its £450m equity raise from earlier in the year.
In a trading update, the company said it had now spent half of the money raised, completed the acquisition of seven assets from the Unite UK Student Accommodation Fund and acquired the land at its Central Quay development project in Glasgow. In November, it acquired the freehold interest of a 260-bed property in London for £37m which it had previously sold and leased back from the freeholder.
Chief executive Joe Lister said: “We have seen a strong start to the 2025/26 sales cycle, highlighting the continued demand for our high-quality accommodation from both students and universities. The outlook for student numbers remains positive with a growing UK 18-year-old population and improving trends in international student recruitment given a more settled policy backdrop in recent months. This supports our confidence in delivering full occupancy and rental growth of 4-5% for the 2025/26 academic year.
“We have also continued to make good progress with the delivery of our development pipeline and have acquired eight investment properties, with value-add potential, in recent weeks. These transactions grow our presence in some of the UK’s leading university cities where demand for accommodation is strongest.”
Unite said two-thirds of beds for the 2025/26 sales cycle are already sold, and the team expects 97-98% occupancy and 4-5% rental growth for the 2025/26 academic year.
Photo © Unite Students
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