Student flats firm snaps up landmark former Scottish Widows HQ
Plus: Hospitals on flu alert as vaccine supplies run low; and protests as city businesses face huge rates hikes
Student flats firm steps in after collapse of £100m homes and office scheme
The former Scottish Widows headquarters in Edinburgh is being sold to an upmarket student accommodation provider following the collapse of a £100m housing and office scheme.
City councillors approved plans to partially demolish the distinctive Grade A-listed building in 2023 to make way for 174 flats and premium office space. However, developers Schroders Capital Real Estate subsequently pulled the plug on the scheme, and the site was put back on the market.
The Inquirer understands Vita Student, which specialises in high-end Purpose Built Student Accommodation (PBSA), is buying the site with the intention of expanding its portfolio in the Capital.
The deal will reignite the debate around the large amount of student accommodation which continues to be built in Edinburgh at a time when the city is struggling to deliver its affordable housing needs.
What? More student flats? If you thought a lot of student flats had been built in Edinburgh in recent years, you would be right - but there is no sign of that surge stopping. Besides the old Scottish Widows HQ, a series of significant PBSA developments are in the pipeline, including the city’s biggest student housing complex, the 632-bed Shore Station in Leith; plans for the former RBS offices in Dundas Street; and near the Union Canal, at Russell Road, in Roseburn.
Isn’t it affordable housing we need? No one doubts the shortage of affordable homes is one of the biggest challenges facing the Capital and a more pressing need than student accommodation. However, the city’s four universities and student organisation warn many of the city’s 62,000 fulltime university students face similar issues to the rest of the population, including a shortage of affordable accommodation.
High-end operator: Vita Student usually caters for the high-end of the student accommodation market with its properties attracting many wealthy Chinese and other overseas students. Its properties tend to include facilities, such as 24-hour gyms and cinema rooms, and premium accommodation can cost more than £22,000 for an academic year.
Don’t miss tomorrow’s Inquirer for an in-depth look at Edinburgh’s battle over student accommodation.
YOUR EDINBURGH BRIEFING
RICKY’S GIFT: Edinburgh Dog and Cat Home is one of 22 animal charities to benefit from almost £2.5m donated by comedian Ricky Gervais from the proceeds of his Mortality stand-up tour. The Seafield-based charity, which earlier this year warned it faced a battle for survival, will receive at least £100,000.
FLU ALERT: Hospitals across the Lothians are introducing urgent measures from today to help protect against the spread of flu. Many staff are being encouraged to wear masks, while family and friends are being asked to limit visitors to one or two. The move comes as private pharmacies across the Lothians are reporting running out of flu vaccine supplies.
£20M FOR CRAIGMILLAR: Craigmillar is to receive £20 million in UK Government funding over the next 10 years as part of the Pride in Place programme. The investment is designed to revive neglected neighbourhoods through reviving local high streets, restoring parks or other measures to improve community spaces. The area to benefit from the investment covers Bingham, Magdalene, The Christians and Niddrie.
THE £50M WOMAN: Sir David Chipperfield, the architect behind Edinburgh’s Dunard Centre concert hall, has credited the “determination” of philanthropist Carol Grigor with helping save the project. The US-born former concert pianist turned has given more than £50m to ensure the world-class venue can be built off St Andrew Square.
COVENANTERS’ MONUMENT: Proposals for a 5G mobile phone mast near the historic Covenanters’ Monument on Redford Road, outside Dreghorn Barracks, have sparked objections. Edinburgh South West MP Scott Arthur has raised concerns the mast will detract from the surroundings of the 140-year-old memorial to the Covenanters killed nearby at the Battle of Rullion Green.
BIKES ON ROSE ST: The city council is set to press ahead with plans to introduce two-way cycle traffic on Rose St Plans despite the idea being described as “insane” by the active travel charity Living Streets. Rose St is among eight streets where councillors are being asked to lift one-way restrictions tomorrow to help link up cycle routes across the city. The New Town and Broughton Community Council, Living Streets and the Edinburgh Access Panel have all objected to the Rose St plan.
PORTY PARKING: Controlled parking could be introduced in Portobello despite 1,900 signing a petition against it and local opponents threatening a legal challenge to the plan. Council transport officials are recommending councillors give the go-ahead tomorrow to revised proposals which would see the restrictions limited to Monday to Saturday and their implementation in Joppa delayed for the time being.
TOLL AIM: Plans to redevelop Cameron Toll Shopping Centre at Lady Road have been approved in principle by city councillors. The plans reimagine the centre as a mixed-use development, with a significant retail element along with commercial, residential and student accommodation space.
Pic of the week
THE BUSINESS
City businesses facing huge rises in business rates
Shops and hospitality venues across the Capital are facing steep rises in their business rates in a move which adds to the growing cost pressures.
First Minister John Swinney has said he is “concerned” by reports that some will see their bills rise by as much as 300% as a result of a rates revaluation.
Some initial reports suggest average bills could more than double with city retailers, hospitality and self-catering accommodation among the hardest hit.
The Federation of Small Businesses, Association of Scotland’s Self Caterers, Scottish Tourism Alliance, Scottish Land and Estates and Scottish Agritourism have written to Scottish Business Minister Ivan McKee calling on him to intervene.
Small tourism and hospitality businesses have warned of closures and job losses if the revaluations indicated so far go ahead.
Action promised: Swinney has moved to reassure businesses, saying: “The issue is already being addressed by the Government. It is an important issue, because it will affect the sustainability of many businesses as a consequence of the proposed changes. The matter is being pursued by ministers at this time.”
Book shop rise: Andrew McRae, who runs shops and cafes in the Old Town and is a former policy chair of the Federation of Small Businesses in Scotland, said the rateable value of his John Kay’s Bookshop on Victoria Street is set to rise by 50%. “We hope Christmas shoppers continue to support small businesses,” he said.
Relief calls: The move comes as Scotland’s Finance Secretary Shona Robison faces growing calls to extend greater help to the hard-pressed retail, hospitality and leisure businesses in her Budget in January. There is real unhappiness that since Covid the Scottish Government has failed to match business rates support offered to the retail and hospitality sectors south of the border, which business says threatens future investment in these sectors north of the border.
Unequivocal message: Fourteen retail chiefs, including four headquartered in Edinburgh, representing a sector which employs 235,000 - have put their names to a letter to Robison which makes the case for a permanent business rate discount for all retailers, to at least match the 10% cut announced by Chancellor Rachel Reeves in her UK Budget. Scottish Retail Consortium director David Lonsdale described it as “an unequivocal message” that without positive measures Scotland’s attraction as a place to invest would reduce.
Largest contributor: The Capital is already the largest net contributor to the national pool of money from business rates which helps in funding public services. The Capital puts in almost as much as Glasgow but gets far less back in funding.
CLEAN TEAM: Growth continues at the Edinburgh-headquartered Spotless Commercial Cleaning, which has purchased Eco-Clean and Maintenance in Rugby – the firm’s fifth acquisition in just two years. The group now employs around 2200 staff at 14 sites across the UK.
WARMING UP NICELY: Heating company The Edinburgh Boiler Company is on target to hit turnover of £10 million in the current financial years – and has now set its sights on achieving a doubling of that over the next few years through acquisition-driven growth and by building on its successful transition into renewables.
THAT’S ENTERTAINMENT
HAPPY CAMPERS: Irish comedy duo Kevin Twomey and PJ Kirby, better known as I’m Grand Mam, are bringing their irreverent stories of LGBTQ+ life to Edinburgh. Born out of their podcast, you can catch their new show Happy Campers at the Queen’s Hall on 26 May 2026.
SNOOKER LOOPY: Some of snooker’s biggest names are competing at Meadowbank Sport Centre where the BetVictor Scottish Open gets underway today. Neil Robertson and John Higgins are among those challenging for the national title with the action running until Sunday.
IT’S TRICKY: Kevin Quantum brings the Edinburgh International Magic Festival back for its 16th edition from Wednesday with a programme packed with entertainment for all ages.
Don’t miss Thursday’s Inquirer for Will Quinn’s cultural highlights of the Edinburgh week ahead.
QUICK BITES
PIZZA THE ACTION: A new addition to the pizza scene in Edinburgh has opened its doors. Slice Syndicate have set up shop at 84 Bruntsfield Place, offering their New York style pizza to dine in or take away as they seek their wedge of the action.
SUPER-TROUPERS: Longstanding and much-loved city hospitality business, the Vittoria Group, has finished the year with a plethora of awards. At the Scottish Italian Awards they notched wins for Best Pasta at Vittoria on the Walk; and Best Antipasto at Divino in Merchant Street, which also came highly recommended in the Best Restaurant (East) category.
RUGBY CHAT: Former Scotland rugby star and captain Greig Laidlaw is taking part in two exclusive talk events during the upcoming Six Nations campaign at the Scottish marketplace Bonnie & Wild at Edinburgh St James, following the first match v England on February 14 and the final match on March 12. More details and tickets here.