A joint venture between a fund managed by the Ares Real Estate Group and Generation Partners has acquired two purpose-built student accommodation (PBSA) assets in the UK for £157.5 million.
Ares said the two student assets provide a total of 1,359 beds in the cities of Exeter and Cardiff.
”This new initiative by Ares Management Corporation and Generation Partners is part of a targeted residential investment strategy that will focus on purpose-built student accommodation (PBSA) assets in the UK,” said the company in a statement.
“We are excited to partner with the Generation team on these attractive student assets and we look forward to identifying additional opportunities for further growth in this sector in the UK market,” said Wilson Lamont, Partner and Co-Head of European Real Estate Equity in the Ares Real Estate Group.
“Having been a major participant in the PBSA sector for the last two decades, including the creation of the Nido and Pure Student Living platforms, we look forward to working with the Ares team to assemble a significant portfolio focused on top tier cities and high-quality buildings,” said Alan Artus, Co-Founder of Generation.
Savills Capital Advisors acted as Financial Advisor to Ares and Generation.