A developer based in Dubai has secured a substantial loan of £238 million aimed at constructing a purpose-built student accommodation (PBSA) project in Southwark, located in south London. This significant investment underscores the growing demand for quality student housing in urban areas, particularly in regions experiencing rapid development.

Project Overview: Devonshire Place

The development—named Devonshire Place—will feature an impressive 941 student beds alongside 200 affordable housing units. The project is being spearheaded by Arada London in collaboration with Shaw Corporation and has received financial backing from Maslow Capital. With a focus on sustainability, the construction will take place on a brownfield site along the southern stretch of the Old Kent Road, enhancing the area’s housing and community offerings.

The PBSA scheme will consist of two towers that will rise between 20 to 34 storeys. It will offer a variety of living arrangements, including cluster bedrooms, studios, and premium rooms, specifically designed to cater to different student needs. Importantly, the complex will also include 109 accessible rooms, ensuring inclusivity for all future residents.

Amenities and Community Features

In addition to student accommodations, Devonshire Place aims to create a vibrant community by integrating commercial, public, and communal spaces. The affordable homes are being developed in partnership with Legal & General Affordable Homes and will be situated in two additional blocks. On the ground floor, there will be commercial spaces aimed at serving the community’s needs.

Students residing at Devonshire Place will enjoy a range of modern amenities designed to enhance their living experience. These include a dedicated student library, private and group study rooms, a gym, a screening room, and private dining spaces. Lounge areas and laundry facilities will further contribute to a comfortable lifestyle while studying.

Located roughly an eight-minute walk from Queens Road Peckham Station, the project benefits from excellent public transport links to key areas such as Elephant and Castle, Canada Water, and Bermondsey, facilitating easy access for students commuting to nearby universities.

Future Prospects and Development Strategy

Arada London’s own construction division will serve as the primary contractor for the project, with an anticipated completion date aligned with the start of the 2029-30 academic year. This timeline reflects the growing urgency for quality student housing in London amidst rising population demands.

As a master developer, Arada manages projects worth approximately $42 billion across the UAE, UK, Syria, and Australia, showcasing its capacity and ambition in the real estate sector. Since becoming part of the Arada Group in 2025, its London operations have cultivated a pipeline of over 17,000 homes, contributing significantly to the housing landscape in the capital.

Maslow Capital, the financial provider for this project, specializes in real estate financing and has a strong history, having managed funding for projects valued at around £11 billion across about 700 transactions. The collaboration between Arada London and Maslow Capital enables a continuity of funding that is crucial for maintaining project momentum as it progresses.

In conclusion, the Devonshire Place project represents a significant step forward in addressing the pressing need for student accommodation in London. With its focus on inclusivity, community development, and modern amenities, this PBSA scheme is poised to become an attractive option for students while contributing positively to the local area.