UK-based GMI Construction Group has commenced work on a new purpose-built student accommodation (PBSA) scheme in York, England.
The contract is valued at £17m ($22m) and marks the company’s third PBSA development in the city.
Located on Foss Island Road, the project is set for a completion date coinciding with the start of the 2026-27 academic year.
The development, a collaboration between real-estate investment company Urbium Capital and developer Gregory Properties, will transform a brownfield site into a five-storey building offering 131 studios and two one-bedroom apartments.
The site, previously home to Enterprise Rent-A-Car and Just Tyres, was acquired early last year.
The building’s location is placed equidistant from the University of York and York St John University, on the edge of the city centre.
The design of the new PBSA scheme emphasises sustainability and includes a range of amenities such as co-working study spaces, a fitness centre, multifunctional social areas, and landscaped courtyards. This PBSA initiative intends to address York’s shortage of student housing.
GMI project manager Mick Spells said: “We’re excited to break ground on the Foss Islands Road project – continuing our work expanding York’s student housing infrastructure.
“It’s a project that aligns perfectly with GMI’s commitment to delivering high-quality projects that benefit local communities. We look forward to bringing this scheme to life and making a positive contribution to the city’s student experience.”
Urbium Capital investment director Iain McKillop added: “We are pleased to see work commence on this exciting project. It exemplifies our dedication to transforming underutilised brownfield sites to meet contemporary needs. Foss Islands Road is an ideal location for student housing, and we are proud to collaborate with GMI Construction Group, whose expertise and commitment to quality make them an outstanding partner.
“This development not only addresses the critical demand for student accommodation but underscores the significant role students play in York’s thriving economy.”
GMI Construction Group is advancing two other PBSA projects in York, set for completion early this year: a £50m, 275-bed development for Olympian Homes at the former Rialto site, and a £22m, 303-bed project for S Harrison Developments on James Street.
Additionally, in February this year, the group began a regeneration project in Grimsby, Lincolnshire, which will see the transformation of the Freshney Place shopping area into a multifunctional hub for leisure, retail, and food.
