Global real estate solutions provider EQT Exeter has agreed to acquire six flagship student accommodation assets in two separate transactions from subsidiaries of Watkin Jones and Tide Construction.
Financial details were not disclosed.
The transactions amount to 2,313 beds, 1,254 of which are currently operating with a further 1,059 beds that will be developed by Watkin Jones and delivered during 2023 and 2024.
The properties were acquired for the EQT Real Estate II fund.
Russell Petrie, head of student housing – Europe, at EQT Exeter said: 'These transactions mark a significant milestone for EQT Exeter’s expansion in the European student housing sector, bringing the total number student beds in operation or in development to 5,222 and adding a new country to our European footprint.
'By selecting the best locations in undersupplied markets coupled with an unwavering focus on tenant experience, we expect these assets to be highly attractive to students by providing an environment where they can thrive both educationally and socially.'
From Watkin Jones, EQT Exeter has agreed to acquire five assets with a total of 2,063 beds in Bath, Nottingham, Swansea, Bristol and Glasgow. The three development assets are set to achieve BREEAM Excellent with the operating assets having already achieved BREEAM Very Good.
Upon completion, Watkin Jones’ in-house operator, Fresh, will manage the five schemes on behalf of EQT Exeter.
From Tide Construction, EQT Exeter has agreed to acquire 250 beds in an operating asset known as Great Court, located in South Bermondsey, London. The development has achieved BREEAM Excellent and EPC A.
The asset will be operated by CRM, which has approximately 25,000 beds under management and a history dating back to 2003. Under CRM’s management, the asset achieved full occupancy when it opened in 2021.
Henrik Orrbeck, head of transactions – Europe, at EQT Exeter said: 'As a global leader in the sheds, beds and meds sectors, student housing is a key pillar to growing EQT Exeter’s thematic investment strategy focused on providing direct-to-consumer real estate solutions in the thriving 'living' sector.
'We are excited to work with Fresh and CRM to deliver a best-in-class product for the students. We continue to investigate a number of exciting acquisition opportunities as we build upon this success and continue our European expansion efforts with a goal of being one of the leading European student housing investors.'
EQT Exeter was advised by DLA Piper and Capita on the transaction with Watkin Jones.
EQT Exeter was advised by Harris Associates, Taylor Wessing and Arcadis on the transaction with Tide Construction.
