KKR & Co, Inc. (NYSE: KKR) revealed that it has sold the five major student housing developments across the UK to Greystar Real Estate Partners LLC. The firm has dumped the assets for £291m. In 2018, KKR has bought these five Purpose Built Student Accommodation (PBSA).
A total of 2, 163 units of the PBSA are located in four major cities where the major educational institutes are situated. The four popular cities include Bristol, Glasgow, London, and Coventry. Out of five assets, four are functioning for the academic year of 2020 and 2021 while the asset in Bristol is under production and scheduled for accommodation in September 2021.
Since the purchase of these assets, KKR has been continuously striving to grow exceptional, efficiently operated housing to fulfill the increasing needs in a market which continues to be neglected by quality alternatives for student housing.
The UK is deemed as the top destination for higher education and has top-ranking universities. KKR worked closely with Nido Student as the operator of the sites to offer the best-in-class property management services, having effectively cooperated on student housing developments in the Netherlands.
The managing director of KKR stated: “These assets are meeting the demand of best-in-class housing across university centers in the UK that offers a particular emphasis on the health of students. We continue to see the UK as a strategically substantial market for PBSA, with strong anticipated demand, and will continue to evaluate future chances to buy and expand quality assets.”