Unite in £380m bond issue

Student accommodation developer Unite Group announced a £380m fundraising launch this week.

Unite has issued £380m of bonds that will have a 10-year maturity, due 2023, and a fixed coupon of 3.4%.

The bonds form part of a wider £405m debt strategy for the Unite Student Accommodation Fund, which includes a £25m, five-year revolving credit facility.

The strategy will refinance around two-thirds of USAF's existing debt facilities, and will increase the average debt maturity from two to seven years.

Unite expects the bonds to be given an "A" rating by both Standard & Poor's and Fitch.