Glasgow city centre set for 140 more ‘much-needed’ student flats after £22m secured
“Our funding will help deliver much-needed, quality student accommodation in a prime city centre location” – Steve Hallam, Paragon Bank
Glasgow looks set for yet another major student flats development after more than £22 million was secured for the overhaul of a prominent city centre office building.
The latest project will create 140 self-contained studio units, housing 142 beds in total, at 250 St Vincent Street, ready for the 2026/27 academic year.
Paragon Bank’s development finance division has provided a £22.6m finance facility to support the transformation of the landmark office building into purpose-built student accommodation (PBSA). The development, named Glasgow Citi View, will see Union Property conduct a strip-out and refurbishment of the Category B listed former office building, with works said to be “well underway”.
Paragon said the deal marked its continued commitment to supporting the UK’s PBSA sector, with the bank having funded around 20 student accommodation developments nationwide to date.
Glasgow Citi View will incorporate a range of “green features” including a state-of-the-art building management system with smart controls, air source heat pumps and LED lighting throughout. The development also offers 75 secure cycle spaces.
Each studio is fully self-contained, with a kitchenette, dining space and en-suite shower room. Two twin studios provide additional flexibility, bringing the total bed count to 142.
Paragon noted that Glasgow was a popular location for students in the UK, with a full-time student population in the region of 95,000 spread across the city’s five main universities.
Steve Hallam, senior relationship director, said: “Our funding will help deliver much-needed, quality student accommodation in a prime city centre location, supporting both the regeneration of the area and giving a boost to its thriving university community. Union Property’s track record and collaborative approach make for a valuable partner for Paragon.”
The latest deal comes amid a boom in PBSA projects. A recent report hailed student flats as a “shining light” in Scotland’s commercial property market despite wider concerns over the fallout from an ongoing university and college funding crisis, the impact on future jobs from AI, and local worries about a lack of general housing.
Last month, funding was secured for a large-scale student property scheme that will provide more than 400 beds in Glasgow city centre.
Puma Property Finance provided a £58m loan facility to MRP - the property division of McAleer & Rushe - to fund the launch of Broadway Studios. The 432-bed purpose-built student accommodation (PBSA) scheme is scheduled for completion in August 2026 and will be operated by Prestige Student Living.
Shane McBride, development director at MRP, said: “Broadway Studios exemplifies MRP’s strategy of delivering high-quality, operationally resilient PBSA in undersupplied university cities. Glasgow’s student market continues to face a structural shortage of accommodation, and this development responds directly to that demand.”
Earlier this month, work was completed on a vast £59m student and housing development in Edinburgh as industry experts insisted Scotland’s main cities faced an undersupply of suitable accommodation.
PBSA schemes, which have been springing up across Scottish university towns and cities, were also highlighted in the latest investor research on the living sector, undertaken by property advisory firm Lismore Real Estate Advisors.
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