CONSTRUCTION is due to start on luxury student accommodation which will providing 362 more beds.

The new development off Renny’s Lane in Dragonville, Durham City, will also offer rooftop terraces and a host of luxury facilities.

The former industrial site, which also has a terrace of five houses, will be demolished shortly to make way for the four-storey development, with work due to start this month.

Planning permission for accommodation with 350 beds was granted in December 2013, with permission for a further 12 beds granted this year.

The accommodation, owned by Studious Investment Management, is aimed at postgraduate students and will be run by Collegiate AC.

It will have a top floor “sky lounge”, video conferencing facilities, a roof terrace, private gym, cinema rooms and dinner party rooms.

A spokesperson said: “Dragon Court is set to provide everything a student could want whilst providing a style and facilities akin to their future professional living requirements.

“The development of Dragon Court will be a welcome addition to Durham's urban landscape with the regeneration of the site breathing new life into the local area.”

Heriberto Cuanalo, CEO of Collegiate AC, said: "Dragon Court will provide Durham's students with a unique living experience, enabling them to make the most of their university careers both studiously and socially.

“The lifestyle-led apartments and social spaces have been beautifully designed to create an environment where students can feel safe and looked after. I am excited to witness the commencement of construction and look forward to welcoming the first residents."

The development is expected to be finished by August 2017 with students moving in for the 2017/18 academic year.

The site has been vacant for a number of years and several of the houses are fire-damaged.

There is mounting concern at the spread of student accommodation, with hundreds of new rooms having been built in the city over the last few years, construction under way on another 1,000 and planning permission in place for a further 2,300.

Peter Smith, director of Bill Free Homes, which was involved in the original proposal, said the area had been blighted because of a lack of development on the site.

Gilesgate businessman Simon Berry, an optometrist, said: “We are pleased that Gilesgate as an area continues to attract development and hope that any new students would add to the thriving community.”