Student schemes snapped up in £300m deal

Three purpose-built student accommodation (PBSA) schemes by the Vita Group have been acquired in a £300m deal.

Savills Investment Management has completed the major transaction on behalf of an undisclosed client for the purchase of 1,340 beds across Cannon Park (Warwick), Iona Street (Edinburgh) and Bruce Street (Belfast).

Vita Student will continue to operate the assets on behalf of Savills Investment Management.

Ioannis Verdelis, chief investment officer for Vita Group said: “The UK’s purpose-built student accommodation market continues to be an exciting and resilient asset class for investors as demand from students for high-quality PBSA continues to outstrip supply, creating an attractive proposition for any investor.

“We look forward to building on our relationship with Savills Investment Management as we deliver Vita Student’s class-leading brand experience for our residents across their buildings.”

Adrian Martin, director at Savills Investment Management commented: “This strategic acquisition underscores our conviction for the long term resilience of the PBSA sector in the UK. The acquired assets are examples of best-in-class buildings, and Vita is an operator with a compelling reputation.”