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DFI Acquires Leicester Scheme for £35.6m

Posted by Richard Ward in

Image courtesy of Flickr, (View licence)

Deutsche Finance International (DFI) has acquired a 462-bed student scheme from Watkin Jones for £35.6m.

The deal represents a forward funding commitment to The Tannery, which is due to open in time for the 2021-22 academic year.

The purpose-built student accommodation (PBSA) scheme contains 415 en-suite rooms and 47 studios and also comes equipped with a cinema room, games room, fitness studio, study areas and lounges.

Once operational the development will be managed by Fresh.

The acquisition marks the second investment by DFI after snapping up Canterbury Student Manor in 2017, which was subsequently sold in 2019.

Commenting on the deal, DFI investment director Paul Nearchou said: "This off market transaction represented a compelling opportunity for us to build on our UK student accommodation exposure and take advantage of the current market dislocation with the acquisition of one of the few newly constructed PBSA assets in Leicester."

"Watkin Jones is one of UK's leading developers and we are confident that they will deliver a high quality, modern product ready for the 2021/22 academic year. The outlook for the UK student sector remains strong, with supportive demographics and growing domestic and international demand."