Arkwright St - Land 2.48 Acres of Residential Land Offered at £74,436,971 in Nottingham NG2 3DP
INVESTMENT HIGHLIGHTS
- Please note the site is owned freehold with full planning consent which has been implemented
- Proposed PBSA & BTR Scheme with prominent positioning
- Aim to deliver this EPC-A rated scheme for 2026
EXECUTIVE SUMMARY
- 20 months build programme
- Overall scheme GDV £74,436,971
- Delivery cost £66,263,400
- 20% Equity Investment £13,005,200
- Senior Debt £53,258,200 (80% LTC / 72% LTV) at a cost of £5,402,611. Based on 10% interest roll, 1% in and 1% out
GDV + Debt costs= £79,839,582 equates to a 5.50% net yield, compressed from a combined scheme yield of 5.90% net (5.10% PRS/6.50% PBSA), or 6.63% net against a scheme delivery cost of £66,263,400
- This is based on leaving all of 10.98% profit in the deal (£8,173,571) which will need to be discussed as in how and when to exit this scheme taking some or all the profit even in stages. This commitment also provides a minimum first-year rental guarantee, again reducing the risk to the investor / owner / operator
When looking at the potential upside once sold as a stabilised asset, can use 5.25% net exit yield for the PBSA and 4.25% net exit yield for the PRS (Combined scheme exit yield- 4.83%), which gives a GDV of £90,947,622 based on today’s rents.
Total forward commit GDV including a maximum cost of finance = £79,839,582
Resulting in £11,108,040 pure profit after costs which equates to 85.4% IRR.
PROPERTY FACTS
| Price | £74,436,971 |
| Sale Type | Investment |
| Tenure | Freehold |
| No. Lots | 1 |
| Property Type | Land |
| Property Subtype | Residential |
| Proposed Use | Multifamily |
| Total Lot Size | 2.48 AC |
1 LOT AVAILABLE
Lot
| Price | £74,436,971 |
| Price Per AC | £30,014,907.66 |
| Lot Size | 2.48 AC |
The scheme is primed to deliver high quality student accommodation. Scheme would require both senior debt at 80% LTC / 72% LTV, and an equity investment at 20% LTC.
DESCRIPTION
The scheme consists of 356 student beds and 149 PRS apartments within two separate blocks on one overall site. Please note that the original scheme was 420 PBSA and 149 PRS, the attached ‘changes’ documents show the VE changes to the PRS block, and the 420 block of PBSA has been reduced in height and beds to 356 to allow us to avoid the BSA ‘gateway’ procedure which creates savings in both build costs and time. We will make these changes through an NMA and complete the development in summer 2026. The site sits adjacent to the tram stop and the main Nottingham train station and is in easy walking distance of the city centre as shown via the aerial views within the brochure. The site is also located near the new ‘University of Nottingham’ City Centre Campus ‘Castle Meadow’, which is only 900m from Arkwright Street, this new campus has massively increased the need for student accommodation in this area of Nottingham. Please find attached a draft forward commit / JV appraisal which is a template of a potential structure working and is based on the following as set out in the appraisal, please remember that this is flexible and encourage the end user client / partner to amend the excel or use the data to run their own model of how they see the deal working.
CONTACT
-
Daniel Robinson -
Cassidy Group Investments Ltd
