Empiric Student Property has reached an agreement with the University of Bath to provide its students with housing at three different sites.
The listed student digs provider said 354 beds across five properties – including two still under construction – will be let to students at the university from September this year.
The buildings comprise of Empiric’s entire Bath portfolio, which it has been steadily building over the years, and include Piccadilly Place, Canal Bridge and Widcombe Wharf.
The beds will be let at current market rates, with an annual increase of between two and five per cent. They will also guarantee Empiric 100 per cent of the annual fee income for those properties.
Chief executive, Paul Hadaway, said: “The nomination agreement provides the University of Bath with dedicated access to much needed premium accommodation for its students, and provides Empiric with committed income for the Bath portfolio for a five year period."
"We look forward to a strong working relationship with the University of Bath going forward. While the focus of Empiric remains on direct-let student accommodation, we will assess the dynamics of each particular market and implement the most appropriate rental strategy.”
The deal comes just days after Empiric secured an £80m loan facility with Cornerstone Real Estate Advisers Europe.