Alumrose secure funding from Octopus for London PBSA

Octopus Real Estate, a specialist in real estate investment and lending under the Octopus Investments umbrella, has provided a commercial loan to Alumrose for the purchase of a site in Elephant and Castle, Central London.

This site has secured detailed planning consent for a PBSA scheme comprising 244 beds. Strategically located within a key Zone 1 transport hub, it offers residents easy access to seven London universities within a 20-minute commute.

Alumrose, a joint venture between Melrose Capital and Alumno Group, plans to develop 206 studio rooms and 38 two-bedroom apartments, all featuring ensuite bathrooms. Furthermore, approval has been granted for 1,500 sq ft of ground-floor retail space, catering to the needs of the local community.

Given the persistent supply and demand dynamics in the PBSA market, particularly in London, this loan holds significant importance. Alumrose is set to benefit from this essential financial support, facilitated by Octopus Real Estate.

"We're delighted to have provided the funding required to purchase this site. We specialise in finance for transitional assets: as a non-bank lender we can tailor each loan to the requirements of the borrower. At Octopus Real Estate we're committed to funding the delivery of quality accommodation, and we're pleased to play a role in increasing the supply of student accommodation in the capital."

James Nunn, Fund Manager, Octopus Real Estate

"Site origination is a key driver in our development strategy, and we are very pleased to have worked with a lender who shares our commitment to placemaking and making a positive impact on the local community. We are extremely excited about this project due to its Zone 1 location and close proximity to various University campuses.

"We are grateful to Octopus Real Estate for helping us progress and develop high-quality purpose-built accommodation for hundreds of students, at a time when securing living space in the capital is harder than ever. We would also like to thank our JV partner Melrose Capital for their continued support and advice."

David Campbell, Managing Director, Alumno