A forward purchase deal struck by GCP Student Living three years ago for a site near Queen Mary University of London has lapsed.
The REIT said in a stock exchange update that its right to acquire the 412-bed, new-build Scape Mile End Canalside development, EC1, has expired, although it added that its directors continue to look at whether the company can invest in the site.
GCP announced the deal in October 2017. The site is close to the REIT’s existing 588-bed Scape East asset.
The company said: “In light of the disruption caused by the Covid-19 pandemic, the directors continue to assess whether the acquisition on an arm’s length basis of Scape Canalside may be funded while maintaining the group’s conservative borrowing levels, particularly in this period of uncertainty.”
GCP said late last month that it expects the coronavirus pandemic to result in “materially reduced revenues” for the final term of the current academic year.
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