US apartment giant Greystar has acquired Nido London's high-end student accommodation portfolio for about £600 mln (€847 mln).
US apartment giant Greystar has acquired Nido London's high-end student accommodation portfolio for about £600 mln (€847 mln).
The 2,375-unit portfolio acquired by Greystar comprises three premium student housing assets in London’s King’s Cross, Notting Hill and Spitalfields. The properties are a mixture of cluster flats and large studio apartments.
Investors in Nido London, include the Coral Student Portfolio advised by CBRE, a financial institution, a number of overseas private stakeholders advised by Curzon Land, and Round Hill Capital.
Round Hill Capital acquired the Nido student housing portfolio from Blackstone for £415 mln in May 2012 to build it into the leading premium student housing operator in the London premium student accommodation market, at a time when the UK student housing market had not established itself as an institutionalised asset class.
Commenting on the sale, Michael Bickford, founder and CEO of Round Hill Capital, said: 'This sale is in line with Round Hill’s strategy to invest in high quality portfolios and exploit first mover advantages, successfully generating attractive returns for our stakeholders through hands-on management and operational expertise. In establishing and successfully building the Nido brand, Round Hill has significantly increased the asset value of this portfolio. Round Hill was correct to identify student housing as an institutional investment grade opportunity well before other investors in the market.'
Greystar entered the UK student accommodation market in September 2013 when it teamed up with Goldman Sachs to acquire the bulk of the collapsed Opal student housing portfolio for about £300 mln.
Student Housing Investment Briefing @MIPIM
What's next for student housing? A panel of experts will explore the latest trends in the sector during an PropertyEU investment briefing at the JLL tent at MIPIM in Cannes from 11am on Thursday 12 March.
MIPIM - Jones Lang LaSalle Tent, At La Plage du Festival Private Beach, La Croisette, facing Restaurant Le Festival
Cannes , France
Click here for more details
