Addleshaw Goddard's Real Estate and Construction teams have advised key client UPP, on the c. £105m landmark transaction with the University of London, for a new central London student accommodation scheme.
The 511-bed student accommodation development in Stratford, was funded by c. £87m of senior debt from Pension Insurance Corporation PLC, with a senior debt investment graded AA-rated wrap provided by Assured Guaranty, UPP and the University also invested a combined c. £18m of equity and subordinated debt.
The 33-storey tower, will be developed by the Watkin Jones Group as part of a larger mixed-use development which will also include residential and commercial spaces and will be completed in 2019.
The cross-divisional AG team was led by Real Estate partner Adrian Collins and Construction partner Andrew McVeigh and is the second partnership between the University of London and UPP following the recent completion of Cartwright Garden Halls in Bloomsbury which Addleshaw Goddard also advised UPP on.
AG is a market-leading legal adviser in the student accommodation sector. The team covers the full spectrum of work including investment, development, funding and management.
Sean O’Shea, Group Chief Executive Officer of UPP said: “The University of London is a world-renowned institution and we are delighted to have reached financial close on this landmark transaction in East London. Located in the heart of Stratford, this exciting scheme will offer future generations of students’ competitively priced accommodation and facilities of the highest quality.”
Notes to editor
Last year the firm brought together key players within the market to provide insight into what the future of the student housing sector looks like, and how universities could save billions in operational costs, alongside the continued opportunities for domestic and foreign investors.