Amsterdam based hospitality brand The Student Hotel has set its sights on the UK millennials market as part of a planned £117m (US$187m, €150m) expansion across European cities that are popular with the young demographic.

The company – which currently operates four properties in the Benelux region – has secured a capital increase and equity commitment of €150m funded by Perella Weinberg Real Estate to address what it calls the “shortage of quality accommodation” across Europe aimed at students.

The Student Hotel plans to own and operate properties ranging from 350 to 700 bedrooms in cities such as London, Brighton and Edinburgh as it bids to attract international students, young professionals, and youth travellers.

Scottish entrepreneur Charlie McGregor, founder and CEO of The Student Hotel, said: “The movement of students between countries has become a global phenomenon.

“The growing number of international students deserves better and more accommodation options and it’s great to work with an investment partner that shares our vision to roll-out high quality and community-driven student and hotel accommodation across Europe.”

The UK low-cost hotel market continues to attract investors, with this latest development coming just weeks after Tune Hotels revealed £200m (US$320m, €256m) expansion plans to open up to 25 new properties in the UK by 2020.