Wednesday 19 September 2018

UK firm plans new student lodgings on Dublin quays

Work on the Montrose Hotel site for student accommodation in 2014
Work on the Montrose Hotel site for student accommodation in 2014
John Mulligan

John Mulligan

A UK investment fund is planning one of the latest student accommodation schemes in Dublin – a 261-bed project on Dublin’s Arran Quay.

The multi-million euro scheme would be located on the site of a Nolans Seafood facility.

Investment fund NTM ROI Seed Capital LP, which is managed by NTM Capital, has engaged with An Bord Pleanála in connection with the planned project on Arran Quay as part of a consultation under the Housing Act 2017.

NTM Capital has been closely linked with UK student accommodation management firm Atelier Property Group, which has managed properties that operate under the Ziggurat brand. The founder and chief executive of Atelier is Matthew McAdden, who is also the chief investment officer at NTM Capital.

NTM ROI Seed Capital LP, formerly Ziggurat ROI Seed Capital, has invested hundreds of millions of euro in sites across Dublin, Cork and Galway since 2015.

Last year, it acquired the Westwood Hotel in Galway, with plans to use the site for a 394-bed student accommodation premises.

While it was initially expected that construction would get under way this summer, the hotel is now likely to continue operating until the autumn. Plans for the scheme have been recently lodged with An Bord Pleanála.

Ziggurat Student Living is not involved in that project and is not engaged to manage the property in the event that the planning application is successful.

Last year, a student residence developed close to UCD which was formerly the Montrose Hotel, to US property giant Hines for €37.6m. It had been operated by Ziggurat.

The property generates an annual rent roll of about €3m.

In 2016, Hines paid a total of €162m to buy four sites in Dublin that are being used or being developed as student accommodation. The sites included The Binary Hub in the capital's Liberties area, which opened in summer 2016 and has 470 beds.

The Binary Hub cost Hines in the region of €80m, while a scheme on Dorset Street cost about €55m.

The four sites were sold by Oaktree Capital's Threesixty Developments.

In March, a joint venture between privately-held, Chicago-based Harrison Street Real Estate and Dubai-based Global Student Accommodation Group announced plans for 600 student beds in Cork and more than 700 in Dublin.

The two companies will operate their €200m joint venture under the Uninest brand.

The joint venture is investing in projects alongside funds managed by NTM Capital.

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Irish Independent

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