Acting on behalf of US Private Equity giant, Blackstone, Jones Lang LaSalle's Student Housing and Capital Markets Group has advised on the disposal of the Nido Student Accommodation platform for £415m to Round Hill Capital.
The deal represents the largest transaction ever in the UK student accommodation market and highlights the continued interest in the direct-let component of the sector from equity investors and debt providers. M&G has provided the senior debt whilst US hedge fund, Och-Ziff, have provided the mezzanine finance.
The portfolio consists of 2,521 student bedrooms across three central London assets namely; Nido King’s Cross, Nido Spitalfields Nido Notting Hill. The accommodation is very highly specified and is extremely popular with international students – www.nidostudentliving.com.
King’s Cross was the first of the three assets to be developed and fully opened in September 2008. The scheme was built on the site of the former Natwest towers.
Spitalfields opened to students in September 2010 and is the largest student accommodation building in the world, standing at 34 storeys tall, located in the City of London. The development has catalysed the regeneration of the wider Spitalfields market area.
Source: Jones Lang LaSalle www.joneslanglasalle.co.uk