CLS has exchanged on the sale of Spring Mews student accommodation development in Vauxhall, SE11, to Rosethorn Capital Partners and Barings for £101.1m.
The purchase price is in line with the 31 December 2024 valuation and 8.1% ahead of the 2023 year-end valuation.
Estates Gazette revealed the asset was under offer to Rosethorn last month.
The 393-bed property, at 10 Tinworth Street, is equipped with amenities such as a study room, gym, swimming pool, cycle store and cinema room.
The sale has also provided an opportunity to address upcoming loan maturities for New Printing House Square in Holborn, WC1, and Artesian in Aldgate, E1, which are due in June and December 2025, with the properties being substituted for Spring Mews into an existing portfolio loan with Aviva Investors.
On completion of the Spring Mews sale, the disposal proceeds will be used to repay £85.8m of debt for the two properties being substituted into the Aviva Investors portfolio. The restructuring of the financing allows CLS to repay more expensive debt while retaining the Aviva Investors portfolio loan largely intact, which is fixed at 2.54% and expires in 2030 and 2032.
Fredrik Widlund, chief executive of CLS, said: “Spring Mews has been a very successful development for CLS, and we are pleased that Rosethorn and Barings will become the owners as the scheme enters its next phase as an integral and continuous part of our Spring Mews estate in Vauxhall. The sale demonstrates CLS’ ability to develop, operate and realise value through its structured, pro-active approach and, at the same time, deliver on several strategic priorities by addressing upcoming loan maturities and reducing LTV.”
Send feedback to Akanksha Soni
