LGIM Real Assets have announced that it has acquired five student accommodation blocks and a high-quality Academic Facility at Exeter University for £76 million.
The UK boasts many of the best universities in the world and has one of the world’s strongest higher education systems.
Attracting international students and academic talent, the higher education sector remains vital to the long-term prosperity of the UK economy.
In order to support this strong demand from students, modern purpose-built accommodation and teaching facilities which complement each other are an essential part of a first class education experience.
LGIM Real Assets has bought these assets on behalf of two separate funds as part of a joined up approach to satisfy its wide ranging investor needs across its fund management platform.
The student accommodation blocks have been acquired by Legal & General’s UK Property Fund for £49.6 million.
Let to INTO University of Exeter on a 35 year lease, the student accommodation totals 517 rooms comprising a combination of 160 studio rooms, 355 en-suite cluster rooms and two staff rooms across five blocks.
The accommodation is just a short walk from the main University campus, to the North of the main University buildings.
Legal & General’s Income Property Fund has bought the INTO Academic Facility at Exeter University for £26.4 million.
The property lease is guaranteed by the University of Exeter and is for a term of 30 years.
The 36,000 sq ft teaching facility is located right at the heart of the Exeter University Campus and is a modern, bespoke, high-specification building.
Matt Jarvis, Fund Manager of the Legal & General UK Property Fund, said: “The quality of accommodation and teaching facilities represents a large factor for students when deciding where they want to go to University.
“We believe that quality facilities help to provide a quality education and we will continue to target universities like Exeter which have modern purpose built living and teaching accommodation.”