Last checked at 19 Aug 2015 07:00
19 August 2015
Empiric Student Property plc
("Empiric" or the "Company" or, together with its subsidiaries, the "Group")
Empiric acquires forward funded development in Nottingham: The Frontage
The Board of Empiric Student Property plc (ticker: ESP) is pleased to announce that the Group has exchanged contracts, subject to planning, on a forward funded development in Nottingham, known as The Frontage, a 162 bed, new build, premium student accommodation scheme, for a total investment of £18.4 million.
The Group will acquire the freehold to this 1980s office conversion, behind an attractive Grade II* listed façade, which is located in the centre of Nottingham within walking distance of Nottingham Trent University and the city's retail and leisure attractions. The scheme comprises 162 beds within 152 self-contained single and double studios as well as three commercial units at the ground floor level which are let to good covenant restaurant tenants. The acquisition will increase the Group's presence in Nottingham to a total of 337 beds.
Frontier Estates will undertake the construction of the property on behalf of Empiric, to the Company's specifications and are expected to be on-site in September 2015. The full amount required for the development will be invested in stages against development milestones. The Company will receive an income return from the developer on funds invested during the development period.
The student element of the property is expected to be delivered for September 2016, in time for the 2016/17 academic year with the retail element of the property expected to be completed in September 2015.
Paul Hadaway, Chief Executive of Empiric Student Property plc, commented:
"This forward funded development represents the Company's third investment in Nottingham, a city which is home to two universities as well as a number of other higher education institutions. The increased number of beds in the city will enable increased operational efficiencies to be derived from the portfolio as well as moving us closer towards our strategic target of providing 300 to 400 beds in each city or town where we operate. This acquisition is in line with Empiric's investment criteria and returns profile."
For further information on the Company, please contact:
Empiric Student Property plc | (via Newgate below) |
Paul Hadaway (Chief Executive) |
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Tim Attlee (Chief Investment Officer) |
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Michael Enright (Chief Financial Officer) |
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Akur Limited (Joint Financial Adviser) | Tel: 020 7493 3631 |
Tom Frost |
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Anthony Richardson |
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Siobhan Sergeant |
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Jefferies International Limited (Joint Financial Adviser and Broker) | Tel: 020 7029 8000 |
Gary Gould |
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Stuart Klein |
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Alex Collins |
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Newgate (PR Adviser) | Tel: 020 7680 6550 |
James Benjamin | Em: empiric@newgatecomms.com |
Sara Hourigan |
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Andre Hamlyn |
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Further information on Empiric can be found on the Company's website at www.espreit.co.uk.
Notes:
Empiric Student Property plc (incorporated in England & Wales) is an internally managed real estate investment trust ("REIT") investing in modern, direct-let, premium, student accommodation, both standing and development assets, with a focus on quality and with assets generally in prime central locations in top university cities and towns in the UK. The Company listed on the premium listing segment of the Official List of the Financial Conduct Authority and was admitted to trading on the main market for listed securities of the London Stock Exchange in June 2014.