The Greykite European Real Estate Fund is acquiring a vacant hotel to launch a €250m German purpose-built student accommodation (PBSA) strategy in partnership with real estate manager and developer Equilibria Group.
The fund is acquiring the 8,000sqm Munich hotel from NH Hotels, which the partnership will redevelop into a 190-room PBSA asset for the 2026/27 academic year.
This transaction represents the fund’s fourth investment strategy and its debut in the PBSA sector, following Greykite’s official launch in March this year.
Michael Abel, founder and CEO of Greykite, said: “This transaction is a further demonstration of Greykite’s ability to source and execute unique off-market investments in key gateway markets, allowing us to build scale in our high-conviction investment themes.
“The PBSA market in Germany, despite being one of largest and fastest growing in Europe, has failed to mature at the same pace as other Western European countries, which represents a sizeable investment opportunity.
“Partnering with Equilibria builds on our joint experience in the sector and as our fourth strategy for the fund, it continues our model of working with best-in-class operating partners with deep and complementary local market expertise.”
Dan Valenzano, senior partner of Greykite, said: “This investment theme is built upon our thesis that the considerable undersupply of, and long-term demand growth profile for, modern, highly-amenitised PBSA schemes in Germany’s top student cities will drive strong rental and capital growth.
“Leveraging the Greykite team’s student housing track record, we already have a pipeline of similar repositioning projects, which will enable us to build a distinctive and scaled portfolio of modern PBSA properties.”
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