Unite Group plc (LON:UTG), the UK’s leading owner, manager and developer of student accommodation, has announced it has exchanged contracts for the sale of the academy school at Hawthorne House for £40.7 million.
The academy school is part of the Group’s newly completed Hawthorne House development in London, and the Group retains ownership of the 719-bed student accommodation element of the site. Hawthorne House is fully let for the 2026/27 academic year with a long-term nomination agreement to the University of the Arts London for over half the beds. The disposal is in line with our business plan for the development and is part of the Group’s disposal strategy, which includes the release of value from non-PBSA assets. The sale is priced at a 4.9% yield, representing a 2% discount to its June 2026 book value and is expected to complete shortly.
The academy school was included in the £225 million of assets under offer in the Group’s Q3 trading update. Proceeds from the sale will initially be applied to reducing leverage.
Joe Lister, Unite Group Chief Executive Officer, commented:
“The sale of the academy school at Hawthorne House is evidence of our capital discipline and proactive capital recycling programme. We are moving at pace to further increase our alignment to the UK’s strongest universities and remain on track to deliver £300-400 million of disposals this year.”
