Investec Bank plc has announced a substantial development loan of £19.25m to Barwood for a new purpose-built student accommodation (PBSA) scheme located in Edgbaston, Birmingham. The financial backing is aimed at the St Chads Student Village, which is set to be constructed on the site of the former St Chad’s Hospital. This loan will facilitate the refurbishment of two Grade II listed structures as well as the construction of three new buildings, demonstrating a commitment to preserving heritage while providing much-needed accommodation for students.
The Project Overview
The 36-month facility is specifically designed to support the ambitious delivery timeline for the St Chads Student Village, which aims to open ahead of the 2026/27 academic year. This project is geared towards meeting the rising demand for modern student living spaces, particularly in a highly sought-after area like Edgbaston. The combination of refurbishing existing heritage buildings along with new construction will create a unique living environment that resonates with contemporary student needs.
Insights from Investec and Barwood
Alice Harman, who works within the real estate sector at Investec, commented on the transaction: “This deal showcases our capability to assist new clients with flexible funding solutions tailored towards development, even under tight delivery timelines. By structuring a bespoke financing facility, we have enabled Barwood to advance a complex PBSA project that integrates heritage refurbishment with new-build elements, thereby delivering vital student accommodation in a prime location.”
Ed Henson, director and head of transactions at Barwood, expressed his enthusiasm for the partnership: “We are thrilled to collaborate with Investec Real Estate on this innovative scheme. The Investec team approached this deal with a refreshingly commercial perspective on the complexities involved, which included a multifaceted development programme that encompassed both new construction and conversion. This project also involved a corporate structure that includes external Funding Partners and Development Managers, adding layers of complexity that required specialised financial insight.”