Property Week: PBSA portfolio put up for sale with £84m price tag

In the media

The Collection, a portfolio of five purpose-built student accommodation (PBSA) assets owned by investors 90 North Real Estate Partners and Rasameel Investment Company, has been put on the market for £84m.

The portfolio comprises a total of 795 student beds spread across the UK in undersupplied student markets.

The largest asset is the Exeter One scheme in Exeter comprising 219 student beds. This is followed by The Union in Leamington Spa with 187 beds and the 108-bed Goods Corner development in Edinburgh.

Other assets up for sale include a 143-bed scheme called City Heights in Cardiff and the 135-bed Dover Street scheme in Leicester.

Four of the assets serve Russell Group universities, while the fifth is located in Leicester. Harris Associates said rents had risen sharply across all five locations due to the chronic undersupply of high-quality rental accommodation.

The portfolio is being marketed by Harris Associates on behalf of 90 North Real Estate Partners and Rasameel Investment Company, with the latter as part of the Academy Investment Fund.

According to Harris Associates, most assets across the portfolio have the potential for substantially increased rental incomes with some refurbishments and renovations.

Jamie Harris, head of student accommodation at Harris Associates, said: “The Collection offers a chance for investors to acquire a stable portfolio, producing steady rental yields in locations that rarely appear on the market.”