Carlyle and Generation Estates to build Whitechapel student tower

The joint venture will redevelop the site to create a tower with 417 student rooms, including a "sky lounge" at the top floor, as well as around 2,000 square feet of retail space.

“Commercial Road’s very central location is ideal for those studying in and around the City, complementing our existing assets in north, south and west London, and I am confident that it will prove extremely attractive to students," said The Carlyle Group's director Hafiz Ali in a statement.

"We believe that the fundamental imbalance in supply and demand for purpose built student housing in London presents an excellent opportunity, and look forward to bringing forward this project and sourcing further investments in future,” Ali said.

“The acquisition of 60 Commercial Road is an important step towards our aim to develop a portfolio of 4-5,000 beds of high quality student accommodation in London and will be a fantastic addition to our growing portfolio,” said Generation Estates director Alan Artus.

The joint venture has also acquired a nearby site at 122-126 Back Church Lane at which it plans to develop a building to provide 25,000 sq ft of office space. It said the offices would be targeted at the TMT sector.

Work on the Commercial Street site is expected to start this month and to complete in the summer 2015 for launch in that academic year. The office building at Back Church Lane is expected to be completed late in 2014.