Blackrock International Land, the Fyffes property spin-off, has expanded its foothold in the Scottish property market with the acquisition of a college campus for a total of £24.2 million (€34.8 million).

The purchase of Jewel and Esk Valley College, which comprises 15.74 acres and is located at Eskbank about 10 miles south of Edinburgh city centre, was made through a 50-50 joint venture with Applecross Properties.

The college campus has outline planning consent for a residential development of 140 high-quality executive houses on the site.

Blackrock managing director Robert Knox welcomed the deal, saying the Scottish residential market remained strong, and these lands were ideally located to serve the demand for high-quality housing within a short commuting distance of Edinburgh city centre.

Under the terms of the deal, an initial payment of £10 million is due on Wednesday, with the balance payable on October 31st, 2008, or on the provision of vacant possession by the vendor, whichever is later.

Blackrock's equity contribution is expected to be less than £4 million.

Analysts also welcomed the deal, which increases Blackrock's exposure in the UK. It already has several joint venture projects with Applecross, including 300 acres of land on the south side of Edinburgh, BBC Scotland's 5.3-acre broadcasting premises in Glasgow, and the 8.82-acre former Edinburgh fruit market.

Shares in Blackrock closed unchanged yesterday at 43 cent in a weak market.