Patron Capital has made its third student development acquisition on behalf its joint venture with Curation Capital.

The partnership has acquired Francis Gardner, a 70-bed purpose-built student accommodation (PBSA) scheme in West Hampstead that is understood to have a total development value of circa £20m.

Financing for the acquisition was sourced from Patron Capital’s Fund VI, alongside an £8.29m financing from specialist lender Leumi UK. The transaction with Leumi was completed within 28 days.

Patron Capital and Curation Capital’s joint venture targets acquisitions and subsequent refurbishments of existing student properties in towns and cities linked with Russell Group or tier-one universities.

Francis Gardner will be managed by Almero Student, which also serves as the asset manager for the other properties purchased by the investment vehicle. To date, Almero manages and operates accommodations in London, Birmingham, Bristol, Nottingham, Manchester, Leeds, Exeter, York and Oxford.

The Leumi financing will also be geared towards the planned refurbishment of the residence, which will transform the existing 70 cluster rooms into 60 studios and six ensuite rooms in preparation for the 2023/24 academic year.

Plans for improvements include increasing room sizes and adding amenities such as a gym, games room, kitchen/dining area, outdoor communal areas, bike storage and laundry facilities.

Christopher Stallard, relationship director at Leumi UK, said: “This loan is testament to our ability to work with our clients on securing finance for much needed projects such as these. While the timeline was challenging, the quality of the borrower’s management team, respective legal teams and the Leumi team was key to closing the deal at pace.”

Keith Breslauer, managing director at Patron Capital, said: “London remains a popular destination for students from across the globe, so we are pleased to add Francis Gardner to our portfolio. Withs its resilience to current economic headwinds and attractive supply and demand imbalance, student accommodation remains a compelling investment proposition.”

The joint venture previously acquired Beech Gardens, a 250-bedroom development in Edgbaston, Birmingham. In June, the partnership purchased Madison Gardens, a 420-bed development in Nottingham, which was revealed by React News. Located in Lenton, the development is near to the city’s two universities.