Student accommodation developer and manager Unite Group have confirmed it has bought a development site in Sheffield.
The site, which is situated close to the University of Sheffield, will accommodate around 570 students. It's estimated that the total cost to purchase the land and develop the site will reach £35 million.
It's anticipated the site will be open in time for the start of the academic year in 2019-20 and will achieve a return on cost of 8-8.5%, which is in line with the company's target for regional development.
As a result of this latest acquisition the company now controls a development pipeline of over 5,500 beds, which will contribute to its earnings growth outlook.
According to Richard Simpson, group property director, the acquisition extends its high quality, development programme in a regional location where there is a growing demand for purpose-built student accommodation.
Mr Simpson also said: "Sheffield is a key city for Unite and will be able to drive efficiencies from our scale and enhance services to our customers and university partners. We continue to see good opportunities to secure land alongside leading regional university to supplement our development pipeline for delivery in 2019 and 2020."