Atelier has provided a £4.7m loan for the conversion of a former hotel in Aberdeen into a 48-room student accommodation scheme.
Development finance lender Atelier has today announced the completion of a £4.7m loan for the development of a 48-room PBSA scheme in Aberdeen, North East Scotland.
The loan, structured at 70% LTV over a 19-month term, will enable the transformation of a Category-A listed former hotel into student accommodation. When completed, the scheme will help to address the considerable shortfall of high-quality student accommodation within the city of Aberdeen, which holds two major universities.
The scheme, which will comprise 48 rooms, is set to contribute to the provision of high-quality student accommodation within Aberdeen. The city is undergoing one of the largest investment projects across the UK, with over £30 billion worth of investments planned across North East Scotland in the next decade.
Luke Eadie, Lending Manager at Atelier, commented:
"This is our first transaction with the borrower, who has a strong track record of delivering high-quality student accommodation in Aberdeen. That experience, together with the quality of the underlying asset and a clear conversion strategy, gave us confidence in the scheme and we’re pleased to be supporting its delivery.”