Deutsche Finance International’s (DFI) European value-add fund has bought a 228-unit student residential property in Denmark’s capital for an undisclosed sum.
DFI European Value-Add Fund acquired the 7,387sqm purpose-built property in Valby, an inner suburb south-west of central Copenhagen, from Danish property firm Koncenton.
DFI said the asset will be used to seed a platform of purpose-built student accommodation in Denmark.
Gavin Neilan, a founding partner of DFI, said” This acquisition illustrates how we identify scalable investment themes in alternative real estate sectors and source opportunities.
”Denmark’s fragmented student housing market offers compelling fundamentals: a robust economy, good universities, rising student numbers and widespread under-supply of accommodation. We’re looking to build a platform of high-quality assets to serve the pent-up demand.”
Paul Nearchou, an investment director of DFI, said: “Our goal is to create a dynamic student housing brand in the Danish market and to scale it up rapidly by adding more purpose-built student accommodation, with each asset providing 75 to 500 beds.
“We have already established a strong pipeline and are focusing on the markets of Copenhagen, Aarhus and Odense.”
The Danish property is DFI European Value-Add Fund’s fourth investment to date. Its other assets are the Olympia London Exhibition Centre, a Spanish residential rental platform and another 386-unit student housing asset in Canterbury, England.
DFI is a London-based boutique private equity platform that invests in European real estate with a speciality in alternative sectors.