Pure Student Living, the joint venture between the Carlyle Group and Generation Estates, has agreed a deal to develop a 417 bed student accommodation block in Whitchapel.
It has bought 60 Commercial Road and two nearby properties for £17m from previous owner, Derwent London.The 19 storey building, which already has planning consent is being designed by Buckley Grey Yeoman.
The joint venture has also acquired 122-126 Back Church Lane and will develop an office building of approximately 25,000 sq. ft. targeted at the TMT sector. Work is planned to start in April 2013, with completion in summer 2015 in time for the 2015/16 academic year.
Hafiz Ali, director at The Carlyle Group said: “60 Commercial Road brings our Pure Student Living portfolio in Central London to five properties and following the successful launch of our Pure Highbury scheme in 2012 means that we will have 2,150 operational beds by 2015. Commercial Road’s very central location is ideal for those studying in and around the City and complements our existing assets in north, south and west London. We believe that the fundamental imbalance in supply and demand for purpose built student housing in London presents an excellent opportunity and look forward to bringing this project forward and sourcing further investment opportunities.”
Alan Artus, director of Generation Estates added: “The acquisition of 60 Commercial Road is an important step towards our aim of developing a portfolio of 4,000-5,000 beds of high quality student accommodation in London and is a fantastic addition to our growing portfolio.”