The real estate investment and fund management arm of Malaysian conglomerate Sunway has added a 233-bed student housing asset in the UK to its portfolio.
Sunway RE Capital has invested an undisclosed sum to buy Green Wood Court, a fully let student accommodation asset located close to the University of Southampton’s Highfield and Bolderwood campuses in Southampton. Sunway RE said it will consider adding new rooms to the asset.
Sunway RE said the asset was acquired for Sunway Residence Trust II, a vehicle that mainly buys assets within the Russell Group Universities cities.
Following the latest acquisition, Sunway RE will own and manage a portfolio of 5 purpose-built student accommodation (PBSA) assets with assets under management of £75m (€85m). The portfolio, which includes Redvers Tower, The Colston, Centre Gate, and Mansion Point asset, consists of over 800 beds spanning across key cities in the UK.
Sunway RE Capital’s CEO Tan Kok Heng, said: “The demand for quality education overseas continues to see a steady rise post-pandemic and the UK remains one of the most popular destination for overseas students in the world.
”With its 100% occupancy rate and limited supply of PBSAs in the area, the acquisition of the 233-bed Green Wood Court in Southampton, UK, marks an attractive addition to our PBSA portfolio and it is consistent with our fund strategy to achieve steady and stable income streams, with potential value-added upside through active asset management and enhancement initiatives.”
To read the latest edition of the latest IPE Real Assets magazine click here.
