'We're excited': Newcastle University deal for over 2,000 new student beds finalised
Unite Students and Newcastle University have finalised the formation of their joint venture, paving the way for more than 2,000 new student beds.
The joint venture funding has been completed and construction of the new development at Castle Leazes is now underway, after the Building Safety Regulator granted approval. Phase one includes 788 beds and is expected to open in time for the start of the 2028/29 academic year. Phase two includes 1,221 beds and is set to launch for the 2029/30 year.
The development replaces Newcastle University's former 1,250-bed accommodation, which was built in the 1960s and demolished last year. Bristol-headquartered Unite Students will act as developer, asset manager and operator to the joint venture, with a 51% ownership stake. Newcastle University will hold 49% and contribute the Castle Leazes site on a 150-year lease.
Joe Lister, chief executive at Unite Students, said: "We're excited to move forward with the construction of Castle Leazes now that we've completed the funding and formalised the joint venture. By working together, we're able to provide high-quality, affordable and sustainable homes that will enhance the residential experience for students.
"The development will also help to ease the shortage of student housing in the city and free up privately rented homes for local families. Purpose-built student accommodation is fundamental to the UK's higher education sector, and this partnership demonstrates the real benefits such collaborations can deliver for students, universities and local communities.
“It also reflects Unite's wider programme of long-term university partnerships, where we are targeting one new agreement each year."
Nick Collins, chief financial officer, Newcastle University, added: "The redevelopment of Castle Leazes is an exciting strategic investment for the university and the formation of the joint venture with Unite represents an important milestone.
"By developing high-quality, sustainable accommodation close to campus, we will significantly enhance the student experience and strengthen our ability to continue to attract talented students to Newcastle. In addition to providing an income stream for the university, the redevelopment will also bring wider economic benefits to the city."