Purpose-built student accommodation, Manchester

The challenge

An experienced student housing operator agreed terms to acquire a completed, 120-bed purpose-built student accommodation block in Manchester from a vendor who needed a fast, certain exit. The price reflected the urgency — but so did the deadline.

The academic year was weeks away. To let the building for September, the buyer needed to complete the purchase, mobilise management and open bookings almost immediately. A conventional mortgage process measured in months was never going to work.

Our approach

Our lending director visited the building in the first week and credit-approved the loan in principle within days, with valuation and legal work running in parallel rather than in sequence.

We structured a 12-month bridging facility at 68% loan-to-value with interest retained, so the borrower had no servicing obligations while the building filled. The exit was agreed upfront: a refinance onto long-term investment debt once the block was let and producing income.

The outcome

The loan completed in 15 working days from first enquiry — in time for the September intake. The building opened fully staffed and reached full occupancy for the academic year.

With twelve months of lettings evidence, the borrower refinanced onto term debt in month nine and repaid the bridge early, with no exit penalty.

The building only worked if we owned it before September. Royal Crest moved at the speed the deal demanded — most lenders simply couldn't.

Case study shown for illustrative purposes.