CBRE Global Investment Partners (CBRE GIP) has acquired a former military barracks which is now a modern student accomomdation complex in the Danish capital Copenhagen.
The investment volume for the acquisition of Sølvgade Complex Student Accommodation was not disclosed. CBRE GIP carried out the transaction on behalf of one of its separate account clients. The vendor was local real estate company Norden.
The complex comprises 463 student units and is located in the heart of Copenhagen. A comprehensive redevelopment and refurbishment project has just been completed ahead of the new academic year.
The property, built in 1771, was originally used as military barracks and was then converted into office use in 1926. It is located in the town centre, 600 metres from the city's main transport hub Nørreport Station and opposite King's Garden.
The University of Copenhagen Housing Foundation has taken half the units on an eight-year lease and the other half will be let directly to students by the operator.
CBRE GIP said that the acquisition was another example of the investor entering into a programmatic venture with an operating partner. Triton Development North will manage the property under its 'BaseCamp' brand.
Alexander van Riel, head of Continental Europe, CBRE GIP commented: 'We are confident that with the undersupply of student accommodation in Copenhagen and Triton’s expertise in this sector, we have acquired a stable income-producing asset with strong rental growth prospects.'
CBRE GIP was advised by Savills, Plesner, PwC and Houthoff Buruma.
