Solihull-based Paragon Bank’s development finance division has provided a £22.6 million finance facility to support the transformation of a prominent Glasgow city centre office building into purpose-built student accommodation (PBSA).
The scheme, delivered by Union Property Development, will create 140 self-contained studio units, housing 142 beds, at 250 St Vincent Street, ready for the 2026-27 academic year.
The scheme is within walking distance of both the University of Strathclyde and Glasgow Caledonian University.
“This latest deal marks Paragon’s continued commitment to supporting the UK’s growing PBSA sector, with the bank having funded around 20 student accommodation developments nationwide to date, including major university hotspots such as Loughborough, Manchester, Cambridge and Birmingham,” said Paragon.
“The project, named Glasgow Citi View, will see Union Property conduct a comprehensive strip-out and refurbishment of a Category B listed former office building, and works are well underway.
“Paragon’s funding package refinances the existing building and covers nearly 100% of development costs. An additional 18-month stabilisation loan will support the scheme post-completion, ensuring a smooth transition to operational status.
“Glasgow Citi View is designed to set a new benchmark for student living in Scotland’s largest city. The scheme is targeting a high EPC ‘B’ rating – high for a conversion – and incorporates a range of green features including a state-of-the-art building management system with smart controls, energy-efficient M&E installations using air source heat pumps and LED lighting throughout. ”
Paragon Bank and Union Property previously partnered on the delivery of an 80-bed Travelodge hotel near Newcastle, completed on time and on budget in 2021.
This latest deal was led by Steve Hallam, Senior Relationship Director, and Josh Pedder, Senior Portfolio Manager, at Paragon Bank.
Hallam: “We’re thrilled to support Union Property on this landmark Glasgow project. 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.”
Raj Sehgal, Director at Union Property, said: “We’re really excited about this latest development. Thanks to Paragon’s flexible funding and sector expertise, we’re breathing new life into a historic building whilst creating a vibrant, supportive and comfortable environment for students. We look forward to welcoming our first residents in September 2026.”