FINANCE: The Unite UK Student Accommodation Fund’s estimated net asset value has risen by 2.1% to £903.8m during the third quarter.
In an update as at 30 September, at the end of the third quarter, NAV reflected an underlying increase in value of 2.1% – and 5.1% in the nine months to September – together with the effect of £17.8m of new equity issued during the period.
USAF’s property portfolio, comprising 24,955 beds in 69 properties across 22 UK towns and cities, was independently valued at £1.56bn.
The movement during the quarter represents a 1.7% like-for-like increase in the value of the portfolio. In the nine months to 30 September, the value of the portfolio has increased by 3.2% on a like-for-like basis with rental growth contributing 2.1% of the movement and yield compression 1.1%.
The overall portfolio is valued at an average yield of 6.5%, representing four basis points of yield compression on a like-for-like basis during the quarter.
In July, USAF completed the acquisition of a 2,904-bed student accommodation portfolio from the Cordea Savills Student Hall Fund for £137m, and an asset comprising 378 beds in Huddersfield from Unite for £20m in September.
