Global specialist real estate investor Round Hill Capital has acquired Portuguese co-living residence provider Smart Studios for €200 mln.
The purchase of nine residences with a total area of 53,000 m2 makes it the largest purpose built student accommodation (PBSA) and co-living transaction in Portugal this year.
The deal adds 2,013 new beds to the European portfolio of Round Hill European Student Accommodation (RHESA), the JV between CPP Investments and Round Hill Capital, which in under nine months already counts with 5,000 beds.
Smart Studios provides co-living residences with studios and apartments in an all-inclusive concept for students and professionals.
João Pita, head of Portugal, Round Hill Capital, said: ‘This investment marks the expansion of the Rhesa joint venture in Portugal, consolidating our presence in Southern Europe with the acquisition of more than 2,000 beds. The Portuguese property market continues to present attractive investment opportunities, and the acquisition of Smart Studios represents one of our key transactions this year, thus reinforcing our ambitions in the country and in the segment. The acquisition will provide high quality facilities at affordable prices to meet the needs of our tenants, offering a wide range of solutions in a still undersized market.’
Ricardo Kendall, founder of Smart Studios, added: ‘We are very pleased to have achieved such a good result in the sale process. We believe we have left Smart Studios in excellent hands, with prestigious world-class companies who are committed to the sector, who intend to increase the supply and improve the quality of student accommodation with at least 1,100 more beds that will be completed over the next three years.’
Seven of the residences are in Lisbon, with one each in Carcavelos and Porto.
Around 900 beds in five buildings will be operational this year, with the delivery of the remaining four planned by 2025.
As part of its ESG strategy, Round Hill Capital will improve energy consumption and the social well-being of tenants.
Round Hill Capital was advised by PBBR, JLL and Deloitte, while CBRE, Savills, Arcadis and Morais Leitão advised the seller.
