On March 3, Singapore private equity real estate firm SC Capital Partners Group announced the sale of its student accommodation asset located on Anzac Parade and Lorne Avenue in Kensington, Sydney, Australia. The group reported that the property was sold at a significant premium to its acquisition price and a 19% premium to its current book value. The buyer of the asset is the University of New South Wales (UNSW) in Sydney.
According to the press release, SC Capital Partners had originally purchased the property in 2016, reportedly paying A$57 million for it. The purpose-built student accommodation spans over 85,035 square feet and includes 233 beds and a ground-floor commercial podium. It is strategically situated within 600 meters of the UNSW Kensington campus. The student accommodation component is fully leased to UNSW, with a fresh 20-year master lease signed in 2019.
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The sale of this asset has further amplified the competition in the assets under management (AUM) race, with a recent transaction by Charter Hall Long WALE REIT increasing its funds under management (FUM) to a substantial $113 billion. The sale is a testament to the strong demand for quality student accommodation assets in Australia and highlights UNSW’s commitment to providing top-notch facilities for its students.