Empiric buys student property in Manchester for £30m

 
Kasmira Jefford
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Manchester-About Town
Empiric now owns nearly 800 beds in Manchester (Source: Getty)

Empiric Student Property has bought a 561 bed scheme in Manchester for £29.5m as well as the 50 per cent stake it doesn't already own in a student accommodation in Southampton.

The listed student housing provider said the Manchester scheme, which it acquired from MCR Property Group, comprised of six separate blocks of accommodation, which have been entirely let to students since it was built in 2009.

The 3.5 acres site is located in the Victoria Park area of Manchester, a popular student area near to some of the universities including the University of Manchester and Manchester Metropolitan.

Chief executive, Paul Hadaway, said: “With its large student population – the third largest in the UK with 61,990 full-time students in 2014/15 according to the Higher Education Statistic Agency – we are pleased to have made this further significant purchase in Manchester, taking our presence in the city to 765 beds.

"This large site with low density provides the opportunity for further development, if appropriate, including communal facilities to create a purpose-builtstudent hub. This acquisition is in line with Empiric’s investment criteria and returns profile.”

The company said it has also acquired the 50 per cent share of a vehicle that owns Brunswick House in Southampton, giving it full control. Brunswick House has 173 beds and is already fully let for the next academic year.

Empiric has agreed to pay the seller Revcap £4.95m as an initial payment calculated in accordance with the terms of the joint venture arrangements. A further payment will become due within 18 months, the quantum of which will be determined at the time based on certain specified parameters.

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