United Trust Bank (UTB) was approached by an existing customer to support a 97-room purpose built student accommodation (PBSA) development in Exeter.

United Trust Bank agreed to the proposal and is now supporting the construction of a new, £15m Purpose Built Student Accommodation (PBSA) development by ACE Student Living.

The scheme in the centre of Exeter, Devon, will create 97 student rooms in clusters of two to five rooms over seven storeys with the eighth storey providing communal living space and a roof terrace.

The borrower has a vertically integrated business model having built a strong inhouse construction management team, enabling them to control all stages along the construction supply chain. This substantial project comprises 97 student rooms set in clusters of 2-5 rooms over 7 storeys. The 8th storey provides a communal space and roof terrace whilst the ground floor has some commercial space including retail.

UTB was happy to provide the £9.4m of funding required to settle the original site acquisition funding and finance 100% of the construction costs plus professional and associated fees. Once complete, the customer intends to retain the scheme in their portfolio and refinance the development loan to a longer term investment facility.