UXCO Group, the Brookfield-backed pioneering owner-operator of student and young professional living spaces in France announces it has secured €140m financing from BNP Paribas for ECLA campus.
Secured at competitive terms, this financing transaction is to (i) refinance the existing debt backed by the 1300-bed ECLA existing residence, and (ii) finance the acquisition of a land plot next to its existing ECLA student asset, a nine-story building in the Paris suburbs to expand its ECLA campus. The 550-bed extension will be completed by Océanis, UXCO’s sister development company.
“This new financing is proof of the continued confidence placed in our model by our long-standing partners, BNP, which have supported the Group since the creation of the ECLA concept in 2018. We would like to thank the team at BNP Paribas for their continued support.”Emmanuel Pariente, CEO, UXCO Group
The new residence will be the largest purpose-built student accommodation (PBSA) asset in continental Europe with over 1,800 beds and will open its doors at the start of the 2023 academic year.
With the aim to invest over €1bn in its French PBSA platform by 2023, this new financing comes at a time when UXCO Group is executing its pipeline to reach a total of over 18,000 beds under operation by 2025, compared to 7,500 in October 2021.
“We are pleased to support UXCO Group in their continued development. This represents an important milestone for the group. After three years in operation, the management has demonstrated their ability to drive the sustainability of the ECLA model and grow the company, particularly through new acquisitions”Alban Tézenas du Montcel, Director within the Real Estate Capital Markets team of BNP Paribas
UXCO Group, together with Oceanis and Appart’City, wholly owned by Grand M Group, have been acquiring, developing and operating residences in France for two decades. Today, the Group is owned by private real estate funds managed by Brookfield, the global alternative asset manager.
UXCO Group also recently announced a significant move to accelerate its development in light of a 250,000 shortfall in units in France.