Bricks Group secures £84.5m funding for Nottingham PBSA scheme

Bricks Group has secured funding of £84.5m from London Wall Lending to support the delivery of 752-bed purpose-built student accommodation (PBSA) scheme on a former Royal Mail site in Nottingham.

The 13-storey scheme will be delivered on the former Bendigo Building site, which was vacant for nearly two decades before its demolition in 2023. There is the potential for the site to deliver up to 781 PBSA beds, subject to planning permission.

The accommodation, which will be managed by Bricks’ in-house operating brand True Student, will provide a range of indoor amenities and landscaped gardens as well as commercial units on the ground floor.

The 28-month loan facility will fund the two-stage transformation of the building with the potential for a further £5.5m of funding to be unlocked if planning permission is achieved.

Peter Prickett, founder and CEO of Bricks Capital, said: “We have a well-established relationship with London Wall built over a number of successful projects, so when the chance arose to deliver much-needed student accommodation in such an iconic Nottingham building, we knew that it was one we needed to take.

“The UK remains an attractive proposition to both home and international students, and we’re continuing to experience surging demand for the services provided through our true student brand. We look forward to meeting the students of Nottingham and working to allow them to make the most of their university experience in the years to come.”

Lev Loginov, partner at London Wall, added: “This is our first investment in Nottingham, and is illustrative of our strategy to support ever-growing residential demand across the UK’s regional markets. With a strong student population spread out across two top-class universities, the city is going from strength to strength and presents exciting opportunity for development. Having worked extensively with Bricks in the past, we’re confident in the business’ ability to seize on this sentiment and provide a top-quality option for the area’s student community.”

John Graham Construction has been selected to deliver the scheme, with Fladgate providing legal support and Knight Frank providing valuation services.