Watkin Jones Agrees Forward-Funding Deal in Edinburgh

Watkin Jones has finalised a £47m forward-funding deal with Vita Group for a 285-bed mixed-use development that contains both build-to-rent (BTR) units and purpose-built student accommodation (PBSA) in Edinburgh.

The project is on a former industrial site in Lona Street and consists of 60 BTR and 20 affordable apartments, in addition to 205 PBSA beds. The scheme will come equipped with communal spaces and a landscaped courtyard. The accommodation is in a prime position to utilise Edinburgh's tram route expansion, which is due to complete in 2023.

Commenting on the deal, Alex Pease, chief investment officer at Watkin Jones, said: "Edinburgh is an amazing city that people understandably want to make their home, but there is a very serious shortage of rental housing of all types that is having a real impact on people's lives. Every additional home built reduces that pressure. This balanced scheme will bring new sustainable homes to the centre of the city, forming a thriving community that will be desirable to live in for decades, a concept that matches our, and Vita's, values and I look forward to continuing to build our relationship."

Meanwhile, Max Bielby, chief operating officer at Vita Group, added: "We're delighted to acquire this development from Watkin Jones. Boasting a prime location with unrivalled access to the city and its universities, it will soon be transformed into a thriving Vita community, supporting the requirements of the city, and helping to satisfy rental demand. We're excited to build upon Watkin Jones' great plans and extend our reach in the city."