Unite, which has developed major schemes in London in recent years, is now extending its business to key cities in the UK.

The developer has two schemes in or about to start construction in the capital. But it has warned rising land and building costs have forced it to look further afield to develop its student halls pipeline.

The two schemes, which will cost £80m to develop, are expected to achieve returns in line with Unite’s targets for regional development of 9.5 to 10% yield on cost.

Both projects will account for around 60% of Unite’s planned development activity for 2017 delivery.

The sites are in central locations and will complement Unite’s existing properties in each city.

Richard Simpson, managing director of property for Unite Students, said: “We are delighted to have secured two more excellent sites in strong regional locations in line with our development strategy.

“The new schemes will enhance our presence in two of our best performing markets and provide much needed accommodation capacity for the growing student populations.”