MCR Property Group has acquired a 1,163-bed purpose-built student accommodation (PBSA) portfolio in Sheffield from Unite for an undisclosed price.
The portfolio comprises the Archways (218 beds), Leadmill Point (446) and Westhill Hall (499) schemes and takes MCR’s Sheffield student portfolio to almost 2,000 beds across six locations, which are operated by MCR’s Flow Student platform.
MCR is planning a substantial multi-million pound refurbishment of Leadmill Point, alongside targeted improvement works at Archways and Westhill Hall.
Nick Lake, fund director at MCR Property Group, said: “Sheffield is a market we know well and one where we have continued to build real scale. This acquisition takes our presence in the city to almost 2,000 beds and establishes Flow Student as one of Sheffield’s largest private student accommodation operators. The opportunity was particularly attractive because these assets complement our existing Sheffield portfolio and give us greater operational scale within a concentrated area.
“We see considerable potential to invest in the accommodation, particularly at Leadmill Point, while using the strength of the wider Flow platform to improve the performance of all three properties. Student accommodation is an increasingly important part of MCR’s portfolio. We have further opportunities in the pipeline and expect Flow Student to continue increasing its presence across the UK.”
Richard Bolger, head of student operations at Flow Student, added: “Sheffield is a very strong market for Flow Student. We already have an established operating platform in the city through Park Village, The Moor and Truro Works, so adding a further 1,163 beds gives us significant scale at exactly the right time. The University of Sheffield has performed particularly well in the rankings this year, while Sheffield Hallam remains a major part of the city’s student population and overall appeal. Together, they make Sheffield a market where we have real long term confidence.
“This additional scale allows us to build stronger operational teams, invest more effectively in the buildings and give students a wider choice of accommodation across the city. Occupancy and bookings across Flow are performing positively, and our focus now is on maintaining that momentum as these properties are integrated into the portfolio.”
JLL acted for Unite and Deloitte advised MCR on legal matters.
