Empiric acquires student accommodation property in Edinburgh: 53-65 South Bridge
22nd December 2017
The Board of Empiric Student Property plc (ticker: ESP), the owner and operator of premium student accommodation across the UK, is pleased to announce that the Group has acquired the feuhold (the Scottish equivalent to a freehold) of a 64 unit student accommodation property in Edinburgh for £7.15 million (excluding costs).
53-65 South Bridge comprises 29,000 sq.ft. of "upper parts" (2nd, 3rd and attic floors) of five adjoining tenement buildings on South Bridge between Drummond Street and Infirmary Street. Each of the tenement buildings has its own entrance from the street, with separately owned retail units below. The property was originally constructed in the late 18th century and is Grade B (II) listed. Currently accommodating 71 students, the accommodation consists of 52 studios (including 5 dual occupancy studios), and 12 apartments of two and four beds.
The building is located directly opposite Old College, the original centrepiece of the University of Edinburgh. The location provides immediate accessibility to all university buildings but is also convenient for the city centre and less than a ten-minute walk from Edinburgh's Waverley Station.
The property is leased to the University of Edinburgh until March 2020 on an Internal Repairing Lease. Upon completion of the transaction, the University of Edinburgh will continue to operate the building until 2020. At the expiry of the lease, it is intended that the building will be refurbished by the Company and thereafter Hello Student® will become responsible for its management.
The University of Edinburgh attracted more than 27,000 full-time students in 2015/16 (latest available HESA data) and student numbers have grown by 20% in the five-year period to 2015/16. The University is ranked 23rd in the world by the QS World University Rankings, and 24th in The Times. International students represent a significant 38% of the university's student body. Overall, Edinburgh is home to 50,000 full-time students.
Tim Attlee, Acting Chief Executive of Empiric Student Property plc, commented:
"South Bridge is our third acquisition in Edinburgh, a city of high quality higher education and a vibrant cultural capital. The property benefits from an existing lease with the University of Edinburgh, guaranteeing full occupancy for its remaining term. We are very pleased to acquire this property in a market with limited private sector, purpose-built student accommodation. This acquisition is in line with Empiric's investment criteria and returns profile."
Questions? Get in touch using the contact details below.
Questions? Get in touch.
Empiric Head Office
Empiric Student Property plc
1st Floor, 72 Borough High Street London, SE1 1XF
+44 (0)20 3828 8700
Dido Laurimore/Eve Kirmatzis
+44 (0)20 3727 1000
Tom Yeadon/Andrew Morris
Jefferies International Limited
020 7029 8000
Capel Irwin / Carl Gough
Peel Hunt LLP
020 7418 8900