Singapore Press Holdings has acquired a portfolio of purpose-built student accommodation assets in the U.K. for around 133.7 million British pounds, or S$237 million, SPH said Tuesday.
The portfolio is based in Southampton, Sheffield and Leeds, and has a total of 1,243 beds, SPH said in a filing to SGX. All three cities have “sizeable” student populations and the properties have occupancy rates above 90 percent. The portfolio also has a rental guarantee for the 2018-19 and 2019-20 academic years, according to the filing.
The assets were acquired from Habitus Holdings, Privilege Holdings, Privilege Southampton Holdings and and AIGGRE Europe Real Estate Fund I GP, the filing said.
The acquisition followed the recent purchase of 380 beds in Lincoln and Glasgow, bringing SPH’s student housing portfolio to more than 5,000 beds in 10 cities, it said.
“The world class higher education system in the U.K. is well-placed to grow, backed by rising demand from both local and international students,” SPH said in the statement. “With a healthy student-to-bed ratio, the asset class has demonstrated strong rental growth over the years.”