Unite disposes of St Pancras Way property, extends buyback programme

(Sharecast News) - Student accommodation provider Unite Group said on Monday that it had completed the sale of its St Pancras Way property to the Unite Students Accommodation Fund and moved to expand its ongoing share buyback programme.

Unite sold the property for £186m, with the firm's share amounting to £126m - representing a 1% discount to its December 2025 book value. It will receive approximately £115m in cash, with the remainder paid in new USAF units after allowances for committed capex.

The transaction lifts Unite's stake in USAF to 32%, up from 30% at the end of last year.

Unite said the disposal allowed it to remain invested in a high‑quality London asset while boosting management fee income and releasing capital for redeployment.

Alongside the sale, Unite's board approved an additional £65m return to shareholders through an extension of its buyback programme launched in January, taking the total size of the programme to £165m. To date, Unite has repurchased 19.3m shares at an average price of 504p, amounting to £98m of the initial £100m tranche.

The FTSE 250-listed company said the expanded buyback reflected confidence in its long‑term outlook and balance sheet strength. Proceeds from the St Pancras Way disposal will fund the new tranche, with remaining funds allocated to capex for existing developments and university partnerships.

Unite added that capital allocation would remain under review as it progresses with its accelerated disposal plan, targeting £300m to £400m of proceeds in 2026.

As of 0930 BST, Unite shares were down 0.21% at 481.40p.

Reporting by Iain Gilbert at Sharecast.com

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