Elite UK REIT has received planning approval for the conversion of Lindsay House into a new purpose-built student accommodation (PBSA) scheme in Dundee, Scotland. Lindsay House will deliver 168 bedrooms and Mys has been appointed to manage the development.
As of 31 December 2024, Lindsay House was valued at £1.485m. Eliet’s development project is estimated to have a gross development value (GDV) of around £24m, with a return on investment of around 18% and a yield on cost of more than 7%.
The new PBSA development is expected to be ready for marketing and occupation ahead of the academic year 2027/2028, starting September 2027.
“Securing planning approval for Lindsay House in Dundee marks a significant milestone in the broadening of our portfolio mix to other non-discretionary sectors such as student housing.
“This redevelopment of Lindsay House will significantly transform the currently vacant property into a resilient income-generating asset and strengthen the REIT’s intrinsic value. The Manager will continue to find value creation opportunities within Elite UK REIT’s portfolio of assets through proactive asset management.”
Joshua Liaw, Chief Executive Officer, Elite UK REIT
Strategically located near leading universities and transportation nodes Located in Dundee’s central business district, Lindsay House, which was formerly a government workspace, is situated in a prime location, within walking distance of two universities and the city centre, making it an attractive student accommodation.
The asset is approximately an under ten minute walk to the University of Dundee and Abertay University campuses, and a 15-minute walk to Dundee Station.
“We are delighted to have the opportunity to partner Elite UK REIT on their maiden entry into the UK PBSA sector. Dundee is a market that remains in short supply of high quality affordable PBSA and the redevelopment of Lindsay House will be a timely addition to the City.
“As a B Corp we are also particularly proud to be re-purposing this building and therefore significantly reducing Embodied Carbon emissions from the project.”
Mark Findlay, Director of Development, MYS Asset Management
With a combined full-time student population of approximately 16,1654 at Abertay University and the University of Dundee in the 2023/2024 academic year, the market’s estimated 4,620 existing PBSA bedrooms represent a student-to-bed ratio of around
3.5 times.
Elite UK REIT intends to capitalise on these favourable dynamics to unlock value through this strategic asset repositioning. With strong rental fundamentals in the area, the project presents an attractive opportunity to generate long-term, resilient income while supporting Dundee’s growing student population.
