UXCO Group has completed a record €300m refinancing deal for three of its Ecla purpose-built student accommodation (PBSA) and co-living properties. The sites are located in Villejuif, Noisy-le-Grand, and Palaiseau in the greater Paris region.
These assets represent a total area of nearly 100,000 sqm and a total of 3,800 beds.
This €300m transaction aims to refinance existing mortgage debts and was executed by a consortium. This comprised of Blackstone Real Estate Debt Strategies (BREDS), BNP Paribas, and Societe Generale.
This refinancing is one of the largest ever completed for PBSA assets in France, highlighting the strong confidence in UXCO Group despite a challenging period for the real estate sector.
The transaction is executed under unfavourable financial conditions, with rates close to those before the Covid-19 period. The banks in this consortium are also supporting UXCO Group in other financial projects. This further demonstrates their confidence in the group.
UXCO Group was advised by Gibson Dunn and C&C Notaires. The lenders were represented by A&O Shearman and Wargny Katz.
As a leader of student housing and co-living spaces in France, UXCO Group operates 75 residences with 15,000 beds. They own a real estate portfolio valued at €1.2bn. The group continues to expand, adding 2,000 new beds annually.
“The confidence of the banking consortium in refinancing this Ecla residence portfolio underlines the resilience of our model and the reliability of our group for investors.”
Nicolas Castanet, Managing Director, Group CFO and Member of Management Board of UXCO Group
In February UXCO Group – and its development arm – Océanis Promotion – announced that it has inaugurated the final phase of ECLA Paris-Palaiseau.
The event marked a major milestone in the development of the ECLA residence, originally launched in 2018.
