University of Cambridge secured planning permission in February 2013 for a mixed use development of the north west Cambridge site, including 1,500 key worker homes, 1,500 private homes, 2,000 student rooms, 100,000 sq m of academic and commercial research space and a local centre.
The university needed funding and financial modelling advice for the project, focusing on phase two. This was to include a review of the alternative tenures available to the university, funding advice and production of a bespoke, multi-phase financial model.
Working with the wider project consultancy team, Savills produced a detailed, flexible, multi-phase financial model and provided comprehensive advice on the range of funding options available to the university, along with an explanation of the pros and cons of each option and a clear recommendation.
Savills advice included inputs from a multi-disciplinary team, including housing & healthcare, student, treasury and commercial.
The model provided by Savills allowed the university to run sensitivity testing on phase two of the scheme. Following the success of the phase two model, Savills has also been instructed to prepare a project wide model, including phases 1–3, with flexibility over the delivery structures, timescales and phasing, mix and funding options.
Our model has enabled the client to undertake detailed financial analysis and business planning for the development, which has helped define the scope and objectives for phase two.
We ensured that the model was set up so that it could become a management tool for accounting and forecasting puposes when the project went live, providing the client with a future-proofed model.