Operis has acted as financial advisor to Equitix and Engie on the development of student accommodation and a broader regeneration scheme for the University of Leicester. The project reached financial close on 2 August 2019.
Engie will act as building contractor to construct 1,164 new student rooms across 7 blocks on a site adjacent to the University’s main campus. The project will also deliver a new 9,000m2 teaching and learning centre, a 500-space multi-storey car park and the refurbishment of the Grade II-listed Freemen’s Cottages, which will be used as office and study space.
Engie will also provide hard facilities management services to the student accommodation once complete under a 50-year contract.
The project is financed with £124 million of 45-year senior, index-linked bonds issued by the project special purpose vehicle, Freemens Common Village LLP. The bonds benefit from a guarantee of scheduled principal and interest payments provided by Assured Guaranty.
Equity is being provided by Equitix as the main investor with Engie as co-sponsor.
The University has also taken a 10% stake in the project vehicle.
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