Work on a £20 million student accommodation development in Dundee is under way.
Property and private equity manager Maven Capital Partners and Glenmore Group, a London based property investment firm, are working on the new purpose-built complex.
The site, previously the location of a hessian fabric factory, is located between Douglas Street and Brown Street in the city centre.
It has been vacant for several years.
Planning permission has been granted for 152 new flats, plus amenity spaces.
Work begins on Dundee student flats
Construction is now under way, with the £19.9m development to be completed ahead of the 2024/25 academic year.
Maven previously developed flats at Marketgait in 2015, which was subsequently sold for £9.5m.
Maven partner Paul Johnston said: “We are continuing to see strong appetite from both domestic and international students to continue their education in Dundee.
“They want to be able to access high quality accommodation which meets the expectations and needs of today’s students.
“Dundee is a vibrant international city, which has undergone a transformative regeneration in recent years, including the £1 billion Waterfront Project.
“Coupled with our experience at Marketgait in Dundee, we are excited to be delivering a high quality, stylish studio product that is in particularly short supply.”
‘Much-needed’ student accommodation
Dundee has one of the highest ratios of student population in the UK. The city has more than 17,000 full time students.
The development is less than 10 minutes’ walk to both the University of Dundee and Abertay University campuses.
Andrew Whiteley from Glenmore Student Property said the development will be a “best in class.”
He said the new student accommodation is “much-needed” in Dundee.
The completed property will comprise of all studios, each providing all the amenities required for fully self-contained and private living.
The common areas will offer common rooms, a gym, cinema room, dining room and laundry.
The top floor will include a partly covered roof top terrace.
It is one of a number of planning proposals for the area.
Separate plans have been lodged that could see the former Oxygen nightclub on Brown Street demolished to make way for 72 flats and shops..
The multi-million-pound development has been part-funded by Glenmore, alongside a bank facility from Puma Property Finance.
Maven will act as asset manager on the project, which will be built by Aberdeen-based CHAP Group.
‘Significant opportunity’ for Aberdeen firm
The Aberdeen firm’s managing director Hugh Craigie said: “The Hessian Student Accommodation Project is a significant addition to CHAP Group’s portfolio.
“We are thrilled to have been chosen as main contractor for this exciting project and to have the opportunity to work with such esteemed partners.
“This is a significant and valued opportunity for CHAP Group.
“We look forward to proving our capabilities and expertise in the student accommodation sector.”