Greystar buys Cardiff and Exeter PBSA assets

Greystar has acquired two purpose-built student accommodation assets, both branded “The Neighbourhood”, located in Cardiff and Exeter. The £60m deal marks Greystar’s expansion into two cities that face significant undersupply of student housing, despite being home to two of the UK’s largest Russell Group universities.  The Neighbourhood Exeter, which first opened its doors in 2018, has 160 beds, while the Neighbourhood Cardiff, established in 2016, has 240 beds. Ben Mowbray, managing director of investment at Greystar, said: “The acquisition of two new PBSA assets in highly sought-after locations aligns perfectly with our strategy to expand our footprint in key student markets across the UK. “With the number of full-time students in the UK expected to rise to 2.5m by 2030, the demand for high-quality, professionally managed student accommodation continues to grow, and we are well positioned to leverage these opportunities and provide secure returns for our investors while creating vibrant communities where students can thrive.” The deal adds some 400 beds to Greystar’s PBSA portfolio, which now expands to more than 35,000 beds  across the UK.  Greystar said it would undertake “proactive asset management” of the properties to maximise value. The assets will be run under its Canvas brand. Sam Ball, partner at Beachrock, which advised vendor Ethos Property on the sale, said: “This transaction demonstrates the strength of investment demand for best-in-class PBSA. These high-quality student residences are of institutional specification with an excellent long-term occupational demand profile.” He added: “We anticipate increased investment liquidity as investors seek to capitalise on what may prove to be a very positive turning point for PBSA transactions.”   Photo courtesy of FGS Global