Puma Property Finance funds Forest Mill PBSA

Puma Property Finance provides debt facility to support the development of Forest Mill, a purpose-built student accommodation (PBSA) scheme in Nottingham.

Forest Mill student accommodation development. Puma Property Finance provides a debt facility for its development | Olympian Homes | Housing Growth Partnership (HGP) | PBSA News
Forest Mill student accommodation development. Puma Property Finance provides a debt facility for its development.

Investment firm Puma Property Finance provides a debt facility of £72m to the joint venture between Olympian Homes and Housing Growth Partnership (HGP), to deliver Forest Mill, a £120m GDV PBSA scheme in Nottingham city centre. The development will also include 19 affordable homes. It is the largest loan to date for Puma Property Finance.

The Forest Mill development will deliver 790 student beds across three buildings. Amenities include a cafe, co-working space, gym, yoga studio, cinema room, garden terrace, and games area with table tennis, air hockey, fussball, shuffleboard and a gaming booth. 

“We are delighted to be working with HGP again and undertaking our first financing with the highly experienced developer, Olympian Homes, in what is our largest debt funding transaction to date.

“PBSA remains one of our core lending sectors as the shortfall of student accommodation continues to increase. Having financed schemes across the UK, including Scotland and Northern Ireland, this deal represents an opportunity to deliver much needed accommodation in another strong university city.

“We continue to have robust appetite to support further PBSA schemes for credible developers in strong locations across the UK.”

Kevin Davidson, Managing Director (MD) and Rahul Malde, Senior Manager, Puma Property Finance

The site for Forest Mill was acquired in September 2021 and construction began last month. Practical completion is expected in time for the 2025/26 academic year.

Located on Alfreton Road, Forest Mill is a ten-minute walk from the Nottingham Trent University campus, around a ten-minute bus ride from the University of Nottingham Jubilee Campus, and approximately a 15-minute walk from the city centre.  

“We are thankful for the pragmatic nature of Nottingham City Council in supporting our vision and addressing the supply/demand imbalance of PBSA and affordable homes within Nottingham. We look forward to progressing works onsite and contributing to Nottingham’s ambitious growth plans.

“The transaction demonstrates the high level of investor confidence in the UK PBSA sector, despite the turbulent macro-economic backdrop. We have enjoyed working with both Puma and HGP and believe this will be the start of a strong, long-term partnership.”

James Lindridge, Development Director, Olympian Homes

The site adjacent to the PBSA scheme will see the delivery of 19 three-bedroom family homes, which will contribute to Nottingham City Council’s housing delivery target. It will provide accommodation for residents on low incomes.

“Puma Property Finance has been a key finance partner and supporter of HGP, and we are delighted to be working with them again on this landmark development with joint venture partner Olympian Homes.

“HGP has strong appetite to invest in the PBSA sector, having recently supported new developments in Glasgow and Dundee, and we are looking forward to working closely with Olympian and Puma in delivering much needed PBSA beds in Nottingham.”

Colin Bennee, Investment Director, Housing Growth Partnership