Leamington Spa

The Union is situated in the heart of Leamington Spa's vibrant student life. Offering charming and comfortable student accommodation within a community-focused living experience. The property is conveniently located near the university, dining, shopping and nightlife.

Exterior view of a brick building with tall narrow windows featuring white vertical shutters and reflections of the sky, with a glass entrance on the left side.
Interior of a modern dining area with wooden tables and benches, large windows letting in sunlight, framed artwork on walls, wall-mounted lamps, and a table with snacks and drinks at the back; a person is standing near the window.
Long brick building with evenly spaced narrow windows along a gravel path beside a canal, with trees and plants lining the canal bank.
Modern kitchen with a long counter featuring two built-in ovens and two stovetops, each with a range hood above; large windows on both sides reveal a tree with green and yellow leaves and adjacent buildings; a small dining table with two chairs is near one window.

Investment Summary

Freehold

This property is freehold in title.

Unit Mix

187 bed spaces, comprising 15% studios and 85% en suite clusters.

Amenities

Lounge space and cycle storage.

Location

18 minutes from the University of Warwick, a member of the Russell Group.

Property Description

The Union was built in 2017. The asset provides 187 bed spaces arranged as 157 ensuite cluster bedrooms and 30 studios. Amenities include communal lounges, cycle storage and laundry facilities. The property comprises two buildings interlinked with an enclosed walkway at ground level.

Minimalist room with a window showing green tree outside, a small study desk with black swivel chair, a table with black and white chairs, and a tall gray wardrobe with drawers.
Modern, bright room with two wooden tables and metal chairs, indoor plants, wall lamps, and five adults engaged in conversation near windows letting in natural light.
Bright modern hallway with light wood flooring, large windows on the left, wooden benches, a vertical green plant wall at the end, white walls with framed pictures, and dark doors.
Modern indoor space with natural light, wooden tables, chairs, and couches arranged for socializing with people standing and talking near windows and artwork on the walls.
Smiling young man wearing round black glasses and a light gray sweatshirt in an indoor setting with blurred background.
"I have been staying here for the past year and have rebooked it for the next year. Our receptionist Charley is really sweet and helps us out with any issue we face."

The Union

Leamington Spa

Reversionary
Potential

A variety of value-add opportunities have been identified and can be undertaken at The Union to drive rental reversion and asset performance: 

- Part of the car park area could be redesigned to include additional communal and/or amenity space.

- Common room to be reconfigured to include purpose-built study spaces, with a separate lounge/games area. 

- If the amenity space was enhanced per the above, Homes for Students expect all rooms types to command an additional c.£10 per week. 

- In addition, if cluster kitchens were to have enhancements made to lounge areas, Homes for Students expect the following rental increases per bed: Standard rooms - £5 per week. Canal view rooms - £10 per week.

A full Homes for Students reversionary operational forecast can be found in the data room.

Modern lounge area with a mix of beige and patterned chairs, round wooden and wireframe tables, tall green plants in black and beige pots, and a wooden slatted wall in the background.

Market Commentary

Supply

The Leamington Spa market primarily serves the University of Warwick. There are currently 10,617 PBSA beds across the Warwick PBSA market.

Quiet street scene shortly after sunrise with a traditional stone church with a tall tower to the left, and a classical colonnade building adorned with hanging flower baskets on the right, under a partly cloudy sky.
Pipeline

The development pipeline for Warwick includes notable projects such as the Torwood Close scheme by McLaren, which is expected to deliver 1,073 beds by 2026.

Demand

The University of Warwick is home to 29,534 students, meaning 64% of students cannot access PBSA.

Smiling young man with dreadlocks wearing a beanie, denim jacket, floral shirt, and backpack, standing on a busy city street.
29,534

Total Students

20,371

Domestic Students

9,163

International Students

Universities

Leamington Spa is an ideal location for university students, being close to prestigious institutions like the University of Warwick and Leamington College, both renowned for their academic excellence and vibrant student life. The Union offers convenient transport links to these universities, making daily commutes easy.

The lifestyle of
Leamington Spa

In 2021, Leamington Spa was ranked the happiest place to live in Britain by leading property website, Rightmove. With Warwick University, Coventry University and Warwickshire College all within a short bus ride, it’s no surprise that Leamington Spa attracts a fair number of students. The town is famous amongst students for its great shopping, cool clubs and music venues. There are over 40 restaurants and takeaways plus around 50 bars and numerous cafes – all within a 10 minutes’ walk – so you’ll never go short of sustenance.

Arts and Culture

Leamington Spa’s rich history and cultural offerings ensure there’s always something to do outside of academic life. The Royal Pump Rooms, now a museum and art gallery, provide insight into the town's spa heritage and nearby Warwick Castle and Shakespeare's birthplace in Stratford-upon-Avon are perfect for weekend excursions. For those interested in the arts, the town’s theatre scene, including the Loft Theatre and the Royal Spa Centre, offers a variety of performances throughout the year. Additionally, the Leamington Spa Art Gallery and Museum hosts exhibitions that appeal to a wide range of artistic tastes.

Nightlife

The social life in Leamington Spa is vibrant and varied. The town boasts a plethora of pubs, bars and clubs that cater to different tastes. The Royal Pug, The White Horse and The Drawing Board are just a few of the popular spots where students gather to unwind and socialise. Nightlife extends to clubs like Smack and Altoria, which frequently host student nights with themed parties and events.

Green Spaces

Embrace the great outdoors in Leamington Spa's beautiful green spaces. The River Leam runs through the town and offers lovely scenery across the riverside. You can also head upstream by hiring a boat. Another great spot is The Jephson Gardens which were designed as a Victorian park for the wealthy to ‘take the air’ and ‘be seen’. The gardens can be found in the centre of the town on the Parade, with the River flowing next to them. With 140 species of trees, a tropical glasshouse, a lake with ducks and swans and a boating pond make it a lovely place to visit, especially in the warmer months.

Shopping

Leamington Spa’s shopping scene combines high street favourites with unique independent stores. The Royal Priors Shopping Centre and the Regent Court Shopping Centre offer a range of retail options. Independent boutiques and vintage shops add a touch of individuality to the shopping experience, catering to eclectic tastes.

Transport

Transportation is another aspect where Leamington Spa shines. The town is well-connected by public transport, with regular bus services to the University of Warwick campus. For students who prefer cycling, there are dedicated bike lanes and routes. The train station provides easy access to major cities like Birmingham and London, making travel convenient for both academic and leisure purposes.

Stone castle with tall tower beside a calm river reflecting the structure, surrounded by green trees under a clear blue sky.
Two women walking past the entrance of The Royal Pug pub and kitchen, a white building with hanging flower baskets and signs advertising food and booking.
A small classical stone building with Corinthian columns and detailed carvings, featuring a domed roof with a window and pigeons perched on it, surrounded by dense green trees.
Street view of people walking past a row of cream-colored buildings with classical architecture, including columns and balconies, decorated with hanging flower baskets and pink bunting overhead, with signs reading 'ROYAL PRIORS'.
Two women riding a black bicycle together on an urban street, with blurred background indicating motion.

Distance & travel times

By Bus
52 min
43min
By Bus
27 min
8 min
25 min
By Bus
50 min
16 min
23 min

Accommodation Schedule

Standard Ensuite
93
Canalview Ensuite
64
Courtyard Studio
21
Canalside Studio
9

AY 24/25 Income summary and projected NOI

£1,422,572

Gross Operating Income
(Assumes 98% Occupancy)

£458,973

Operational Expenditure

£963,599

Net Operating Income

Rental Comparables

Bronze En Suite
£198 - £202
45 - 51
Silver En Suite
£202 - £208
45 - 51
Bronze Studio
£289
51
Silver Studio
£294
51
Gold Studio
£299
51
1 Bedroom Flat
£309
51
Classic En Suite
£144
45 - 51
Premium En Suite
£147 - £184
45
Premium Plus En Suite
£171
51
Deluxe En Suite
£181 - £185
51
Superior En Suite
£181 - £185
45 - 51

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