Construction of a Purpose Built Student Accommodation

“Having worked with E3 Consulting team on other projects we were very pleased with their specialist input on this complex project involving various property/lease interests and parties that had to be fully segregated so as to optimise the tax savings. We were delighted by the outcome of their review.”

Director of Tax and Treasury

This 500 plus bedroom Purpose Built Student Accommodation (PBSA) project was constructed under a development agreement between our client’s special purpose vehicle (SPV) entity, the university and developer. Consisting of a range of bedroom types as well as amenity space including games area, gym, laundry rooms, break out space, study areas and roof terrace.

E³ Consulting were appointed by the client to review and analyse the project expenditures, working alongside the client’s appointed project team to optimise the property tax relief available under the multi-party construction agreement. E³’s project surveyor reconciled the construction contract and development agreement against company ledger records to navigate various monetary movements from contributions to profit and land payments.

Property tax relief achieved:

■         Plant & Machinery Allowances - £8,580,000

■         Integral Features Allowances - £12,850,000

■         TOTAL TAX SAVINGS APPROX. £4.07m