University of Reading closes £230 million student accommodation deal with UPP

9th January 2012

University of Reading closes £230 million student accommodation deal with UPP

Some further great news on investment into the student accommodation sector materialised over the Christmas break as UPP and the University of Reading concluded their deal which sees all of the University of Reading’s student accommodation estate, in total 4,321 existing and new beds to be built, transferring on a 125 year lease to UPP in the largest transaction of its kind in the sector.

The deal will see UPP invest some £230 million into the University with the bulk of the student residential estate transfer deal being financed with £184.6 million of senior debt provided by Aviva rather than a traditional bank.

The student housing transfer is an indication of the apetite from Universities towards collaborating with the private sector to bring in capital and expertise, allowing universities to focus more strongly on their teaching and learning content without fear of other key areas of the student experience degrading.

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