Amro Estudiantes Alicante PBSA receives €17.5m Fiera loan

The global asset management firm Amro is making its debut into the Iberian market via the Article eight-compliant Fiera European Real Estate Debt Fund.

Amro Estudiantes Alicante has received development investment from Fiera Capital | Amro Partners | Falco Capital | PBSA News
Amro Estudiantes Alicante has received development investment from Fiera Capital.

Investor Amro Partners and Falco Capital have announced the refinancing of the partnership’s joint student housing project in Alicante, with a €17.5m three-year development loan from Fiera Capital’s European Real Estate Debt platform.

Located a three-minute walk away from Universidad de Alicante’s main campus, the €30m GDV development will comprise c.285 student beds in San Vicente del Raspeig in a mix of studios, twodios and doubles. Amenities include study spaces, a swimming pool, canteen, terraces, a gym and 92 on-site parking spaces.

Amro Estudiantes Alicante has achieved full planning permission. Work started on site in Q4 2023 and the scheme is set to complete in Q3 2025.

“Our strategy to create Europe’s most sustainable living real estate portfolio is paying dividends in terms of attracting the highest quality global lenders. We are delighted to be working with Fiera Real Estate as they make their European PBSA debut and looking forward to delivering this exemplar student housing asset in a prime location close to Alicante’s main university hub.”

Raj Kotecha, Chairman and CEO, Amro Partners

Amro Estudiantes Alicante is the first purpose-built student accommodation (PBSA) building in Spain to adopt a Passivhaus design discipline, with investment in fabric efficiency, renewable energy technology and solar control in line with the Paris Agreement’s 1.5-degree Celsius carbon emissions reduction pathway. 

Targeting an energy use intensity of just c.100kWh/m2.yr, that includes PH levels of cooling demand and heating demand of less than <15 kWh/m2.yr, the building achieves the maximum score in the SFDR Article 8 under the development section.

“We are delighted to have transacted on this high-quality development facility. Since joining Fiera, we have remained consistent in our investment approach; to back best-in-class management teams and lend against fundamentally good real estate in sectors that suffer from undersupply and have favourable long-term outlooks. Amro has a proven track record in delivering best-in-class student accommodation and we look forward to further building on our very good relationship.”

 David Renshaw, Co-Head, Fiera’s European Real Estate Debt business

Seeking its first investment in the Spanish lending market, Fiera was drawn to Amro’s strong track record for delivering market leading green PBSA assets, and the project’s specific ESG credentials including BREEAM ‘Outstanding’, EPC A++, Fitwel 3* and WiredScore ‘Platinum’.

“Our European debt strategy is an important portfolio diversifier that takes advantage of a new macroeconomic regime and Fiera’s global expertise in this space. This transaction proves the underlying appeal of our model, which offers creative finance solutions to sponsors and stable inflation linked income streams in resilient asset classes to investors.”

Charlie Allen, Head of European Real Estate, Fiera

The current student to bed ratio in Alicante stands at around 5:1, with student numbers continuing to rise. Last month, Amro and Falco refinanced four operational student housing assets in Spain via a €70m investment loan from blue chip global lender Nuveen Real Estate, which forms part of the Teachers Insurance and Annuity Association of America (TIAA).