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UK: MCR Property Group has acquired Njoy Student Living and its purpose-built student accommodation (PBSA) assets in Manchester and Leeds.
The transaction adds around 800 beds and apartments to MCR’s Flow Student platform, and takes the portfolio beyond 8,000 beds. The purchase price has not been disclosed.
The portfolio includes Carr Mills in Leeds, a 301-bed purpose-built student accommodation scheme, in addition to Langdale Hall, Langdale Courtyard, Carfax Court Flats, Naburn & Welby Street, Hathersage Road and Q3 Apartments in Manchester. A number of the properties were previously owned by MCR.
Alongside the existing accommodation, MCR has identified substantial potential to create additional student rooms and apartments across parts of the estate, subject to the necessary planning and development approvals.
Nick Lake, fund director at MCR Property Group, said: “The strategic logic is straightforward. We know these assets, we know these cities and we know where we can add value. There is also a full-circle element. MCR previously owned a number of the properties and we are now bringing them back into the group as part of a much larger and more ambitious student platform. Manchester and Leeds are priority markets. They have significant and resilient student populations, but just as importantly they are thriving cities attracting substantial investment, development and employment. MCR is already highly active in both.
“This acquisition gives us around 800 existing beds and apartments in strong locations close to major universities and hospitals, but there is also significant further potential within the estate. We see opportunities to create additional rooms and apartments as we invest in and reposition individual assets. We are not interested in simply accumulating beds. We want density, operating scale and good real estate in cities where we have conviction. Njoy gives us an established business and local operating capability, while Flow brings capital, technology, marketing, asset management and the infrastructure of a national platform,” he added.
“We will also invest heavily in the estate. Carr Mills and a number of the Manchester assets will see multi-million-pound capital programmes as we improve the product and unlock the longer-term potential of the portfolio. Flow Student is now beyond 8,000 beds. With further transactions progressing, we expect to move through 10,000 shortly. The next objective is 15,000,” said Lake.
Highlights:
- MCR Property Group has acquired Njoy Student Living and its purpose-built student accommodation (PBSA) assets in Manchester and Leeds
- The transaction adds around 800 beds and apartments to MCR’s Flow Student platform, and takes the portfolio beyond 8,000 beds. The purchase price has not been disclosed
- MCR has identified substantial potential to create additional student rooms and apartments across parts of the estate, subject to the necessary planning and development approvals
