The northeast division of BAM Construction started work on site in January on the £18.4m development that will house 409 students.
The development is set out over three connecting blocks rising to seven storeys, spanning between Stoddart Street and Clarence Street in the east of the city.
The accommodation will offer a mix of self-contained studio flats and ensuite bedrooms with shared kitchens. Completion is scheduled for summer 2017.
The BAM Connislow JV was set up to specialise in developing student accommodation. It completed its first project at Ainsley Street in Durham in late 2014.
The JV has secured forward funding from the Curlew Student Trust, a vehicle created by Curlew Capital and CBRE, to invest in prime purpose-built student accommodation.
BAM Properties managing director Dougie Peters said: “The BAM Connislow JV is delighted to be starting our second student accommodation project. We intend to develop more schemes in locations where there is high demand from students. Our advantage is that we can draw on the development, design, construction and FM expertise in BAM as well as the specialist funding expertise of Connislow to develop effective schemes that will be attractive to students. BAM is a leader in sustainable digital development and construction which means what we develop will stand the test of time, will be highly efficient to manage and operate and deliver great returns to investors.”
He added: “The BAM Connislow JV is currently considering a number of schemes for potential development throughout the UK.”