Round Hill Capital, an international real estate investment firm, and NBK Capital have bought a 412-bed student accommodation development in Cork.
NBK Capital, a Middle Eastern investment company, will help co-fund the development, which has a value of €83m.
The companies purchased the 1.5 acre freehold site on Bandon Road, Cork for €10.3m.
Along with the planned 412 beds, there is additional opportunity for an adjoining site offering a further 142 beds, subject to planning permission.
The development is within a five-minute walk to University College Cork, Cork Institute of Technology and the city centre.
This is Round Hill Capital’s fourth student accommodation investment in Ireland and, in partnership with NBK Capital, it plans further acquisitions to develop a 2,000 plus bed student accommodation portfolio.
As well as student accommodation, Round Hill has plans to invest in Ireland's build-to-rent accommodation market.
Bandon Road will be ready for occupation in September 2022 and in time for the 2022/23 academic year, the company said.
Michael Bickford, founder and CEO at Round Hill Capital, said: “Round Hill Capital has an 18-year track record of successfully investing in, developing and operating student accommodation and residential housing assets across Europe and we are pleased to have acquired this prime 412-bed purpose-built student accommodation development project in Cork.”
“We appreciate that areas of the student and residential housing markets in Ireland suffer from structural supply and demand imbalances and we look forward to helping alleviate these pressures and further expanding Round Hill Capital’s business in Ireland and across Europe.”
The development, which is being designed by O’Mahony Pike architects, will include an open plan reception, private dining room, gym/wellness room, study and games areas, laundry, bike storage, 24-hour security, 200Mbps Wi-Fi, year-round events programmes and landscaped outdoor spaces.
Nido Student will manage the development. Nido currently has over 7,000 beds currently operational across the UK, Germany and the Netherlands, and a further development pipeline of 4,000 plus beds in the UK, Ireland, Germany and Portugal.
In March Round Hill NBK Capital bought a 368-bed student accommodation development in the Liberties, Dublin 8. This development has a value of €85m.