Singapore property group Wee Hur and GIC have sold their Australian student housing portfolio to Greystar for A$1.6bn (€969m).
Wee Hur had a 50.1% interest in the portfolio of 5,500 beds and GIC held the remaining 49.9%.
Wee Hur said it retained a 13% stake through its subsidiary and would use the S$320m (€226m) net proceeds from the sale to fuel the group’s growth strategy to expand into new areas like alternative investments.
In 2015, Wee Hur entered the purpose-built student accommodation (PBSA) market with its first asset in Brisbane. Building on this foundation, the group launched the Wee Hur PBSA Master Trust in 2016 with the goal of creating a portfolio of 5,000 beds across key Australian cities.
In 2022, GIC affiliate Reco Weather Private bought a 49.9% stake in the Wee Hur PBSA Master Trust for A$568m.
Goh Yeow Lian, executive chair and MD of Wee Hur Holdings, said: “From venturing into an uncharted asset class to building one of Australia’s most significant PBSA portfolios, Wee Hur has demonstrated its ability to create and deliver transformative value.
“This achievement is a testament to the unwavering dedication of our team, partners, and stakeholders who turned challenges – including navigating new markets, managing greenfield developments, and overcoming disruptions like COVID-19 – into opportunities.”
Goh Wee Ping, CEO of Wee Hur Capital, said: “This divestment highlights Wee Hur Capital’s exceptional ability to execute its strategic vision and deliver superior returns for its investors, regardless of market conditions.
“In 2021-2022, amidst global uncertainty, we acted decisively to secure liquidity and certainty through our successful recap with Reco. Two years later, as the PBSA market rebounded and our portfolio approached full stabilisation, we capitalised on yet another opportunity to unlock maximum value for our stakeholders through this landmark transaction.”
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