Paragon Bank’s Development Finance division provides a £29.6m finance package to support the development of Tribe Southwark purpose-built student accommodation (PBSA) scheme in London.
The funding for Tribe Student Accommodation will result in a ten to 12-storey development, delivering 267 student beds – a mix of cluster rooms and studios. The scheme will also include communal lounges, a study space, roof garden, pocket park, and 257 sqm of retail/restaurant space on the ground floor level.
Located on a site previously occupied by KFC, works have started on the new development. Completion is expected for the 2024-2025 academic year. With demand for student accommodation growing in the area, alongside the broader redevelopment of the Old Kent Road area, the PBSA scheme will cater to students studying in south London and across the capital.
“This development will provide much-needed student accommodation for some of the capital’s largest universities. The Old Kent Road is undergoing significant redevelopment and this scheme is part of a wider programme that will upgrade the area.
“Paragon is a bank that knows how the PBSA market works and one of the few lenders that can support a scheme from concept through to completion. We’re pleased to have been able to work with the bank on this project.”Laurence Quail, Director, Tribe
The funding has been led on behalf of Paragon by Senior Relationship Director Nigel Jackson and Relationship Manager James Helmore, with support from Portfolio Manager Megan Andreou. The scheme utilises Paragon’s stabilisation facility, which provides an 18-month period post-completion of the development for the scheme to season with student occupancy for up to two academic years.
“This is an exciting project that will result in top-level student accommodation in a growing student market. Tribe has an excellent reputation for student accommodation provision, and we’re pleased to have been able to support the company on this scheme.”James Helmore, Relationship Manager, Paragon Bank