Xior Student Housing has unveiled plans to list as a real estate investment trust on Euronext Brussels next month in the latest sign that student property is moving from being a niche to a more institutional investment sector in Europe.
Xior Student Housing has unveiled plans to list as a real estate investment trust on Euronext Brussels next month in the latest sign that student property is moving from being a niche to a more institutional investment sector in Europe.
On the date of the completion of the offer, the portfolio will be formed by a combination of contributions in kind, mergers, acquisitions and asset deals. For instance, Aloxe, which acts as promoter for the new company, will contribute its student housing-related assets in Xior.
Xior´s portfolio will then comprise 2,000 rooms across 37 buildings in Belgium and 11 in the Netherlands with a total fair value of €196 mln.
The management team consists of Christian Teunissen (CEO), Frederik Snauwaert (CFO) and Arne Hermans (CIO), all of whom have extensive experience in the student housing segment.
The board of directors is composed of four independent directors, Leen Van den Neste (CEO, VDK Spaarbank), Joost Uwents (CEO, WDP), Wouter De Maeseneire (Academic Dean, Vlerick Business School) and Wilfried Neven (CEO, Allianz Benelux – Belgium). The CEO and the CFO also sit on the board of directors.
The share offering is dependent upon market conditions, regulatory approval and Xior obtaining accreditation as a tax-efficient public RREC or Belgian real estate investment trust (REIT).
'Xior has been active in the student housing segment since 2007 and has built up a high-quality portfolio and rolled out an appropriate management model,' said Xior CEO and co-founder Christian Teunissen.
'This market introduction and accreditation as an RREC is the next step in Xior's development as a major player in this property segment in Belgium and the Netherlands, and positions Xior to formulate further growth plans,' he added.
Bank Degroof Petercam and ING Belgium have been appointed as joint global coordinators and will also act as joint bookrunners.
Class Conference
News of Xior's IPO plans came a day after The Class of 2020, a think tank and platform on student housing in Europe, held its annual conference in Amsterdam to discuss the opportunities and challenges triggered by the internationalisation of higher education.
Signalling the strong increase in the sector, the Class Conference event attracted 460 delegates - representing investors, developers, local government bodies, universities and student bodies - up from 200 last year.
The heavyweight investors taking part included PGGM, Greystar, Gecina, Swiss Life REIM, LaSalle Investment Management, Syntrus Achmea Real Estate & Finance, and Bouwfonds Investment Management.
Student housing specialists told the conference about the latest news and strategies in relation to developing, operating and investing in student accommodation in the UK and continental Europe. This group included Deutsche Real Estate Funds (DREF); Crosslane, International Campus, The Student Hotel, City Living and Milestone Development, Unite Students.
PropertyEU was a media partner for the conference.
