A new student development on Terminus Terrace in Southampton, called Vita Student at Richmond House, is now 80% sold out after being on the market for just two months.
Vita Student launched the development onto the public market on 29th November and the apartments have proven popular with investors looking to benefit from the thriving student property sector, which is being driven by a structural undersupply of suitable accommodation across the UK.
Southampton was chosen as the location for the £21 million luxury student scheme due to the academic reputation of the two local universities and increasing student population which has been boosted by an influx of overseas undergraduates.
Carillion has been appointed as the main contractor to the 10-month project and work is well underway, with it due to be delivered in September 2014. The site is being refurbished from a multi-use office development into 202 luxury studio apartments alongside communal leisure and study facilities.
The apartments are operated by Vita Student Management which finds the tenants, deals with any enquiries and passes the rental income back to the investors. Many of the apartments have already been reserved by students looking ahead to the 2014/2015 academic year.
Gavin Duncan, MD of Vita Student Management, said: “The academic excellence of The University of Southampton and Solent University means that the student body is growing in the city, increasing the need for purpose-built accommodation.
“Richmond House will not only provide students with a fantastic place to live in a convenient central location, but also free-up residential housing for the local population.
“The demand we have experienced from both investors and students demonstrates that our decision to build in Southampton was spot-on.”
The Vita Student brand was launched in 2012 by specialist city-centre developer Vita Ventures. There are currently seven schemes in Russell Group university cities across the UK with several more due to be announced over the coming year.