News | 24 Sep 2024

Moorfield Group’s PBSA scheme in Lincoln reaches completion

  • UK real estate fund manager Moorfield Group has completed construction works on its 293-bed, £45m PBSA scheme in Lincoln
  • The scheme is being delivered as part of a development agreement with Melberry Developments
  • BGU Student Village is now leased for 40 years to Bishop Grosseteste University (BGU)

Moorfield Group (“Moorfield”), the UK real estate fund manager, has completed construction of its 293-bed, £45m PBSA scheme in Lincoln.

The scheme, named BGU Student Village, includes townhouses and cluster flats across almost 90,000 sq. ft and seven buildings ranging from one to four storeys, as well as landscaped gardens and leading sustainability credentials – including a +10% Biodiversity Net Gain.

Bishop Grosseteste University (BGU) Student Village is being delivered as part of a development agreement with Melberry Developments (“Melberry”), with Bowmer and Kirkland as contractors. The development, which took 15 months to build, is ready to welcome students from BGU.

Moorfield has undertaken the investment on behalf of Moorfield Real Estate Fund V, (MFREFV) the latest fund in its flagship value-add series. In July, Moorfield announced that it had successfully raised an initial £330m for MFREFV and its associated co-investment initiatives. Moorfield’s “Hub & Spoke” strategy is focused on the living and storage sectors, which are both marked by an under-supply of fit-for-purpose product, low levels of institutional ownership and demographically driven tailwinds.

The scheme has delivered positive social impact, with the local workforce, suppliers, and education providers engaged in the development process. This included 76 hours of education for local students and 130 weeks’ worth of work experience for architecture students from the University of Lincoln.

Bowmer and Kirkland estimates that the social, economic, and local value realised by the scheme’s development amounts to £2.6m.

BGU Student Village is the second purpose-built student accommodation delivered by Moorfield and Melberry, following the completion of the 282 bed “Enso” in July 2023. Enso achieved a BREEAM “Excellent” rating and is fully let to students from the University of Colchester.

Charles Ferguson-Davie, Co-CEO and Chief Investment Officer at Moorfield Group, commented: 

Student housing is a sector of strategic focus for us, with the investment case supported by structural and demographic demand drivers, as well as the undersupply of fit-for-purpose accommodation.

“BGU Student Village will help to plug this gap, with the sector offering those with proven and long-standing expertise the opportunity to fund development and to refurbish existing purpose-built schemes as well as student houses of multiple occupation (HMOs).”

David Sarson, Managing Director at Melberry Development Management, commented: 

“After our successful work together on Enso, the completion of BGU represents yet another vindication of the quality of product produced by Moorfield and Melberry’s development partnership.

“With a conscientiously thought-out amenity offering and best-in-class sustainability credentials, the scheme is all set to provide this generation of Lincoln’s students with high-quality accommodation they can be proud to call home throughout their educational journey.”

Bishop Grosseteste University Chancellor Dr. Tracy Borman, commented:

“We are thrilled to open the Student Village, which will significantly enhance the university experience by fostering a vibrant and supportive community close to our campus. This development is a key part of BGU’s broader growth plan, complementing our existing on-campus accommodation. It’s wonderful to see it all come together, ready to welcome our students to their new homes very soon.”

Moorfield has established itself as a market leader in UK student housing, having delivered c.5,000 beds through Domain, its purpose-built student accommodation development and operational platform, which was established in 1997.

A further 2,000+ beds are being aggregated through Moorfield’s existing houses of multiple occupation (HMO) strategy. These will form part of Moorfield’s private real estate investment trust, MREIT, which launched in September of this year and will target the single-family housing and student houses for multiple occupation residential-for-rent sub sectors.

Moorfield’s other residential strategies include multi-family build-to-rent housing, which it re-entered this year through a recent £120m GDV forward-funding deal in Manchester, co-living, retirement living, and nursing/care homes.