CapitaLand Ascott Trust (CLAS) has gained full ownership of Standard at Columbia, a student accommodation property, after acquiring the remaining 10% stake from US real estate development and investment firm CRG along with partner Landmark Properties.
CLAS acquired the 678-bed South Carolina property in phases over three years. In June 2021, CLAS and its sponsor, Ascott, jointly invested US$109.9m (€100m) to develop the student accommodation, with each party holding a 45% interest. In 2022, CLAS acquired Ascott’s 45% stake.
The remaining 10% was held by an unnamed third-party partner and CapitaLand said in 2021 that its subsidiaries would acquire the remaining stake when the property performance had been stabilised.
Serena Teo, chief executive officer of CapitaLand Ascott Trust Management and CapitaLand Ascott Business Trust Management, the managers of CLAS, said: “The acquisition of Standard at Columbia is in line with CLAS’s strategy to marry stability and growth to generate long-term returns to stapled securityholders.
“Recycling capital from our divestment proceeds into this longer-stay asset with strong operating performance will further boost our returns.”
CLAS expanded into the student accommodation segment in January 2021. Today, CLAS has nine operating student accommodation properties, with eight properties in the US and one in Japan making a total of more than 4,500 beds.
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