The UK-headquartered Global Student Accommodation Group (GSA) has acquired a portfolio of Dublin student residences from its joint venture partner, Harrison Street, in a deal valued at €400 million.
GSA has assumed ownership of Harrison's interest in five properties in Dublin city centre. The buildings comprise 1,971 bed spaces and include Ardcairn House, Kavanagh Court, New Mill, The Tannery, and Broadstone Hall, all of which primarily serve students at Trinity College Dublin, the Royal College of Surgeons in Ireland, TU Dublin Grangegorman, and University College Dublin.
The properties within the portfolio have an average occupancy rate of 97 per cent and all properties have been delivered to date with the exception of Kavanagh Court Phase II, which is expected to be completed in the first half of 2020.
Join venture
In a statement confirming its acquisition of the portfolio, GSA said it will continue to partner with Harrison Street, both in Ireland and across Europe. A separate joint venture involving the two firms is set to deliver a further 1,300 student bed spaces in Dublin and Cork.
Harrison Street is one of the world’s largest alternative real estate investment firms. The Chicago-headquartered company focuses primarily on the education, healthcare and storage sectors.
Commenting on the completion of the Dublin deal, GSA group chairman, Nicholas Porter, said: “This transaction underpins GSA’s global growth strategy and our plans for expansion in the region, helping to generate increased opportunity and value for our investors and partners.”
Rob Mathias, senior managing director and head of international business at Harrison Street, said: “GSA has a deep familiarity with these properties, and we are pleased to build on our strong partnership with them as we continue to identify attractive investment opportunities on behalf of our limited partners.”
Paul McDonnell, head of property finance at Bank of Ireland said: “We are pleased to support GSA in this acquisition which will enable them to expand their footprint in the Irish purpose-built student accommodation market. We are committed to supporting student accommodation projects and we believe they have a crucial role to play in helping to solve current issues in the rental market.”
