GIC and Greystar Real Estate Partners, LLC have formed a joint venture that has signed an agreement to acquire Student Roost, the third largest provider of purpose-built student accommodation (“PBSA”) in the UK from one of the funds Brookfield Private Real Estate. The transaction is expected to close in the third quarter of 2022 and is subject to customary closing conditions.
Student Roost’s high-quality portfolio comprises over 23,000 beds with a secure development pipeline of around 3,000 additional beds spanning major UK university towns, many of which are home to prestigious Russell Group institutions. Student Roost is well placed to benefit from the strong growth in demand in the UK’s leading higher education accommodation market.
“GIC is pleased to invest in Student Roost, the UK’s third largest student accommodation platform. We are confident that Student Roost will continue to provide high quality student accommodation with good occupancy rates at a competitive rental price that attracts demand from local and international students,” said Lee Kok Sun, Chief Investment Officer of Real Estate, CPG.
“We expect student enrollment to increase over the long term. This will stimulate demand for well-located and purpose-built student accommodation. We look forward to working closely with Greystar and Student Roost to deliver added value such as renovating existing assets to continue to provide attractive student accommodation in a competitive market,” added Tracy Stroh, Head of Europe Region. , Real Estate, GIC.
“We are delighted to welcome the Student Roost team to Greystar. This acquisition adds to our portfolio of over 120,000 student beds worldwide. We have been active investors, developers and managers of student accommodation in the UK since 2013, through our holdings in IQ through 2020, Chapter Living and the recently launched Canvas brand. GIC is one of our most important global investment partners and we are delighted to extend our partnership into the UK and into student accommodation, which given the fundamentals is one of our investment strategies. most compelling investments globally,” said Mark Allnutt, Senior Managing Director – Europe, Etoile Grise.
“Over the past six years, we have invested in transforming Student Roost from a small portfolio of externally managed assets into one of the UK’s largest PBSA providers with capabilities to operate, grow, fully integrated sales and marketing. In partnership with Student Roost’s high-quality leadership team and founder Tim Butler, Student Roost is now a brand that attracts a diverse and growing student base,” said Brad Hyler, Managing Partner and Head of European Real Estate Business at Brookfield.
“We are proud of what we have built at Student Roost and the high quality facilities and services we provide our students. We are grateful to Brookfield for our partnership, and look forward to working with GIC and Greystar as we continue to expand our portfolio and deliver an exceptional experience for our residents,” concluded Nathan Goddard, CEO of Student Roost.