The loans in Glasgow, Bristol and Manchester underline the capabilities of the lender as it targets growth in the sector.

It has agreed a £12m development loan in Glasgow for a conversion project in the city centre, which will provide beds for postgraduate students at the University of Glasgow. The agreement makes Downing one of a few lenders that can operate with the same remit in Scotland as it does in England.

The Bristol deal is for a £25m development loan for a new build in the city centre delivered with a tailored funding solution to help the developers through the Gateway 2 approval pathway required by the Building Safety Act.

In Manchester, Downing is lending £10.5m through a structure which means it funds around 95% of total costs for the deal. The development will deliver 76 studio apartments and will be ready for the September 2027 university intake, with an expected gross development value of around £20m on completion.

Will Powell, investment director at Downing, said: “Downing remains committed to the PBSA sector, which, despite some recent slowdown, continues to perform as an asset class in the core university cities. Our focus remains on backing good quality sponsors on well-structured business plans, and I was delighted to close these transactions within April so that construction can commence in earnest.”

John Pollington, investment director at Downing, added: “We’re proud to support PBSA developers with a broad, flexible range of funding solutions, considering the client’s goals through every step of a process designed to be straightforward. We look forward to continuing to work with experienced partners to help bring high-quality schemes forward.”