The platform, managed by Greystar, has invested an undisclosed amount to buy the four assets located in Madrid, Valencia and Málaga. Three of the assets are under forward purchase agreements and are in advanced phases of construction with completion expected in March 2021, while the fourth in Madrid is ready for occupation.
The deal is the student accommodation platform’s second-largest acquisition, following a 2017 acquisition of 37 assets of 9,400 beds.
Following the latest acquisition, the platform now owns 11,100 beds across 43 residences in 20 Spanish cities.
Greystar said it will operate the new assets under the RESA brand, which it acquired in 2017.
Juan Manuel Acosta, Greystar managing director in Spain, said: “It is rare to be able to acquire a portfolio of this scale and quality in Spain and it will significantly enhance our existing offering.
”RESA has remained resilient despite the uncertainty of this year achieving around 97% occupancy, which underpins the strong fundamentals of the student accommodation sector in Spain.”
Esther Escapa, head of transactions and developments for Spain and Portugal at AXA IM - Real Assets, said: “While there has been some short term uncertainty this year as a result of the pandemic our portfolio has performed well and student accommodation remains one of the residential asset classes we continue to invest in, attracted by the highly visible operationally backed income streams it offers.
”The Spanish student accommodation market in particular, is also both highly fragmented and undersupplied, presenting an opportunity for further consolidation and growth.”
Line Verroken, senior investment manager, CBRE Global Investment Partners said: “We continue to believe in the long-term resilience of the student accommodation sector and are pleased to be growing the portfolio alongside Greystar and AXA IM - Real Assets.”
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