The facility, which is aligned with the Loan Market Association’s (‘LMA’) Green Loan Principles, is the second student accommodation financing by Aviva Investors as part of its Multi-Sector Private Debt strategy and follows the provision of a green loan towards construction of a 283-unit PBSA scheme in Elephant & Castle, London, in May.
Spread across two sites, the development will target BREEAM ‘Outstanding’ certification and an EPC ‘A’ rating, alongside a 3-Star Fitwel Standard, which evaluates the way buildings support health and well-being. It is expected to include dedicated study space, as well as gym, cinema, and F&B facilities. All rooms will be offered as ‘accommodation only, ‘half-board’, or ‘full-board’, providing a variety of options for students across a range of budgets.
The scheme is situated in the Benicalap district of Valencia, north of the city centre and close to the main thoroughfare, providing immediate access to local bus and tram networks. The site also benefits from a short commute to both University of Valencia and Polytechnic University of Valencia campus sites, while being just a 15-minute walk to city centre. Construction is already underway and is expected to complete for the intake of students ahead of the 2028/29 academic year. The joint venture between Amro Partners and Invesco also includes projects in Madrid, Barcelona, Bilbao and Málaga. Collectively, the portfolio comprises c. 1,500 PBSA beds, scheduled for completion and expected to become operational throughout 2027 and 2028.
The investment builds on Aviva Investors’ existing relationship with Amro Partners, with the two firms having launched a platform focused on investment into Germany’s PBSA market in 2025, targeting €500m GDV through ground-up developments.
The financing also complements Aviva Investors’ broader real estate investments in Valencia, having completed the acquisition of a brownfield development site in the city in May as part of its Spanish build-to-rent platform, which accounts for more than 1,200 apartments across Valencia, Madrid, Barcelona and Palma de Mallorca with a gross development value of over €360 million.
Sima Kotecha, Head of High Yield Strategies, Real Estate Debt, at Aviva Investors, said: “With two of Spain’s top institutions in the city, Valencia is one of Spain’s strongest markets for international and domestic students and an increasingly important PBSA market in Europe. Despite this, it has faced sustained constraints in the supply of accommodation for students even as demand continues to grow. We are therefore very pleased to expand our relationship with Amro and Invesco to fund this scheme, helping the continued delivery of new student living quarters in a strategically important market, where we believe its dynamics support long term investment outcomes.”
Pablo Garcia-Morales Osorio, MD and Co-Head of Iberia at Amro Partners, said: “We are delighted to complete our first development financing with Aviva Investors which builds on the successful join venture partnership undertaken in Germany in 2025. We look forward to growing our relationship further in the coming years.”
