ESG-leading project in Alicante attracts €17.5m Fiera loan

Along with our partners Falco Capital, we have financed our student housing project in Alicante with a €17.5m 3-year development loan from Fiera Capital’s European Real Estate Debt platform.

The global asset management firm is making its debut into the Iberian market via the Article 8-compliant Fiera European Real Estate Debt Fund.

Amro Estudiantes Alicante is the first PBSA building in Spain to adopt a Passivhaus design discipline, with investment in fabric efficiency, renewable energy technology and solar control in line with the Paris Agreement’s 1.5 degree Celsius carbon emissions reduction pathway. Targeting an energy use intensity of just c.100kWh/m2.yr, that includes PH levels of cooling demand and heating demand of less than <15 kWh/m2.yr, the building achieves the maximum score in the SFDR Article 8 under the development section.

Seeking their first investment in the Spanish lending market, Fiera was drawn to our strong track record for delivering market leading green PBSA assets, and the project’s specific ESG credentials including BREEAM ‘Outstanding’, EPC A++, Fitwel 3* and WiredScore ‘Platinum’.

The current ratio of students to dedicated beds in Alicante stands at around 5:1, with student numbers continuing to rise year on year. Located a 3-minute walk from Universidad de Alicante’s main campus, the €30m GDV project will deliver c.285 student beds in San Vicente del Raspeig, providing twodios, doubles and studios alongside dedicated study spaces and shared facilities including a swimming pool, canteen, terraces, a gym and 92 on-site parking spaces. Full planning permission has been granted, with work having commenced on site in Q4 2023 and set to complete in Q3 2025.

Fiera’s European Debt platform is part of its global real estate credit product offering, where a further USD2bn assets are under management in North America and Asia.

Raj Kotecha, Chairman and CEO of Amro Partners, said: “Our strategy to create Europe’s most sustainable living real estate portfolio is paying dividends in terms of attracting the highest quality global lenders. We are delighted to be working with Fiera Real Estate as they make their European PBSA debut and look forward to delivering this exemplar student housing asset in a prime location close to Alicante’s main university hub.”

David Renshaw, Co-Head of Fiera’s European Real Estate Debt business, commented: “We are delighted to have transacted on this high-quality development facility. Amro has a proven track record in delivering best-in-class student accommodation and we look forward to further building on our very good relationship.”

Last month, we refinanced four operational student housing assets in Spain via a €70m investment loan from blue chip global lender Nuveen Real Estate, which forms part of the TIAA (Teachers Insurance and Annuity Association of America).