IP Investment Management (IPIM), a private equity real estate fund management firm based in Singapore, has furthered its push into the UK’s student accommodation market with a major investment in Edinburgh. The company announced last week that it was investing £19 million into 255 purpose-built bedrooms on Gorgie Road in Edinburgh, within three miles of the city centre.
The new site will add 92,000 sq ft of student accommodation, comprising a mix of cluster flats and studios. The project is scheduled for completion in 2017, ahead of the start of the academic year. IPIM is partnering on the project with Maven Capital Partners, which will provide asset management services for the delivery of the scheme.
This is IPIM’s second major accommodation investment in the UK this year. In March the company acquired a site in Selly Oak in Birmingham and set plans to build 100 studio apartments by September 2016.
IPIM has been developing student accommodation in the UK since 2011. Last year the company sold three buildings in London, Oxford and Cardiff with a GDV of £46 million to LaSalle Investment Management. With an estimated 34,000 students “unable to live in student halls or purpose-built housing”, Edinburgh represents an attractive location for the company.
Peter Young, Director at IPIM, commented on the company’s latest investment: “We are committed to building a robust portfolio of student accommodation assets across the UK and we see Edinburgh as a crucial part of this.” He added: “We see the student accommodation sector as a highly attractive asset class and are committed to working with developers in this sector. We will continue to actively pursue a pipeline of similar deals in the coming months.”