Moorfield Group has entered into a development agreement with Melberry Developments, on behalf of Moorfield Real Estate Fund V, to deliver a £42m GDV 293-bed purpose-built student accommodation (PBSA) scheme in Lincoln.
The scheme is the second PBSA scheme from fund manager Moorfield and Melberry, following the completion of a 282-bed scheme in Colchester. It is also the second residential scheme be delivered in the Moorfield and Funding House ‘Zennor’ partnership, after the pair entered into an agreement for an 81-bed co-living scheme in West London in 2022.
The scheme will comprise townhouses and cluster flats across seven buildings providing almost 90,000 sq ft. Moorfield and Melberry are targeting BREEAM Very Good for the development, which will be delivered by contractor Bowmer + Kirkland on a turn-key arrangement.
Charles Ferguson-Davie, chief investment officer at Moorfield Group, said: “We have been investing in student housing for over 20 years and investor confidence in the sector remains resilient, with domestic and international investors keen to increase their exposure to an undersupplied asset class offering risk-adjusted returns and long-term income streams. We see a market opportunity in new-build development and refurbishment of existing stock, with both strategies responding to investor demand for high-quality assets with leading ESG credentials.”
David Sarson, managing director at Melberry Development Management, added: “We are delighted to have secured this second scheme with Moorfield Group building on the success of Enso, which has received widespread acclaim and is one of the region’s most sustainable PBSA schemes. Our collaborative work has proved a winning formula in the delivery a high-quality product aligned with market needs and requirements.”
Tim Attlee, founder of Funding House, said: “This scheme promises to be another exemplary project from Moorfield and Melberry, and we are pleased to have completed our second transaction in the Zennor partnership. The joint venture has been designed to provide funding solutions to leading residential development partners, enabling the delivery of best-in-class assets in a sector that is central to institutional investment portfolios.”
