Tadhamon Capital, a Bahrain-based Islamic investment company, has fully completed the purchase of Paul Street, a mixed-use student development, valued at over £100 million ($161.9 million) in London.
The acquisition was concluded in joint venture with Apache Capital and McLaren Property following the successful development and full letting of its first prime Central London student development – Paris Gardens – which was also carried out with McLaren Properties.
The Paul Street development will be comprised of three blocks, two of which will contain 456 student accommodation units with a 1,550 sqft ground floor retail space, with the third block consisting of a stand-alone office building. Construction work is expected to commence in during the first quarter of 2014 with completion targeted by the end of Q3 2015. The investment is expected to generate a minimum average annual net cash yield of 7.3% and an Internal Rate of Return of 17.5%
Paul Street is located on the northern fringe of the City, within proximity of the fashionable areas of Hoxton and Old Street. The property benefits from its close proximity to the major public transport nodes of Liverpool Street Station and Old Street tube station and from being within walking distance of two of London’s largest universities: London Metropolitan University and City University.
Tags: Venture Capital, Venture Capital firm, Venture Capital group, Venture Capital industry, Venture Capital investment, Venture Capital Investor, Venture Capital fund, VC Funding, VC, Tadhamon Capital, Bahrain, Islamic Investment Company, Paul Street, London, Joint Venture, Apache Capital, McLaren Property, Paris Gardens, Hoxton, Old Street, Liverpool Street Station, Old Street, : London Metropolitan University, City University.