Leumi UK lends £23.5m to Curation Capital and Patron Capital for Durham student accommodation asset
Posted: 14th May 2025 | Share
Real estate lender Leumi UK has completed a £23.5m loan to a joint venture between Curation Capital and Patron Capital for the acquisition of a purpose built student accommodation (PBSA) asset in Durham. This is the fourth transaction between Leumi and the PBSA-focused joint venture, but is the first for this new JV with equity from Patron Capital’s Fund VII, demonstrating its high conviction in the sector, as well as its strong relationship with the two institutions.
The 418-bed site is the home of Ustinov College, the University’s only exclusively postgraduate college, and is comprised of two properties – Sheraton House and Neville House. Across the two buildings, along with several college offices Sheraton Park offers a café, gym, common room, and a seminar room. The asset provides a range of premium accommodation options, including single ensuite rooms with shared kitchens, studios with private kitchens, and premium paired rooms.
The JV will now transform the building into modern energy efficient accommodation for the next generation of students. The University of Durham has experienced significant growth in recent years, with the total number of students rising from around 18,000 in 2016/17 to well over 21,000 by the 2023/2024 academic year, driven by the quality and prestige of courses on offer.
On the back of their relationship-driven approach and sector-specific expertise, Leumi UK’s property finance team have had a strong start to 2025, completing a number of high profile transactions. The team remains committed to working closely with its borrower clients from the outset to understand their goals and provide bespoke, obstacle-free finance solutions at speed.
Chris Stallard, Relationship Director at Leumi UK, said: “We pride ourselves on building strong, trusted relationships with our clients, and this transaction is a prime example of that. This is our fourth deal with Curation Capital and Patron Capital, and highlights our continued conviction in the PBSA sector, based on the highly supportive demand drivers. Sheraton Park is a high quality asset at a growing university presenting clear accommodation needs, which underlines our confidence in its bright future.”
Irina Stamate-Rocha, Senior Partner at Patron Capital, said: “Leumi UK’s deep expertise in the sector and ability to work quickly and efficiently to deliver a bespoke financing solution were critical to getting this deal over the line. We are pleased to be able to kick start another JV with Curation with the acquisition of this property with a long term lease to the University of Durham and look forward to implementing our refurbishment plan to drive value.”