UK real estate fund manager – Moorfield Group – enters its second development agreement with Melberry Developments, on behalf of Moorfield Real Estate Fund V, for a new PBSA scheme in Lincoln. It is also Moorfield’s second project in its ‘Zennor’ partnership with Funding House.
Funded by Moorfield, the £42m GDV scheme will deliver 293 new student beds across seven buildings ranging from one to four storeys – in a mix of townhouses and cluster flats – across almost 90,000 sq ft – and will include landscaped gardens. The scheme is set to complete in 2024.
“We are delighted to have secured this second scheme with Moorfield Group building on the success of Enso, which has received widespread acclaim and is one of the region’s most sustainable PBSA schemes. Our collaborative work has proved a winning formula in the delivery a high-quality product aligned with market needs and requirements.”David Sarson, Managing Director, Melberry Development Management
Through a range of innovative construction techniques and new green technologies, Moorfield and Melberry will target a BREEAM “Very Good” rating. Delivered by contractor Bowmer + Kirkland on a turn-key arrangement, the fully electrified scheme will include air sourced heat pumps – representing a 60% energy consumption reduction compared to traditional gas heating – and elements of off-site construction.
The site’s stone bedrock will be excavated and re-used during construction to reduce embodied carbon emissions, while labour will be sourced locally and local apprenticeships made available.
This development is the second PBSA scheme to be delivered by Moorfield and Melberry, following the completion of Enso in July 2023, which took under two years to complete, achieving a BREEAM “Excellent” rating, and is now fully let to University of Colchester students.
It is also the second scheme to be delivered by the Zennor partnership, where Moorfield and Funding House Limited – which supports across origination and deal structuring – provide de-risked funding opportunities in the living sectors.
“This scheme promises to be another exemplary project from Moorfield and Melberry, and we are pleased to have completed our second transaction in the Zennor partnership. The joint venture has been designed to provide funding solutions to leading residential development partners, enabling the delivery of best-in-class assets in a sector that is central to institutional investment portfolios.”Tim Attlee, Founder, Funding House Limited
Establishing itself as a market leader in UK student housing, Moorfield has delivered c.5,000 beds through Domain, its PBSA development and operational platform, which was established in 1997.
“We have been investing in student housing for over twenty years and investor confidence in the sector remains resilient, with domestic and international investors keen to increase their exposure to an undersupplied asset class offering risk-adjusted returns and long-term income streams.
“We see a market opportunity in new-build development and refurbishment of existing stock, with both strategies responding to investor demand for high-quality assets with leading ESG credentials.”Charles Ferguson-Davie, Chief Investment Officer, Moorfield Group