Canadian Investor QuadReal Takes Full Ownership Of 20,000 U.S. Student Housing Beds
QuadReal Property Group acquired the remaining 50% of a portfolio of about 20,000 student housing beds from CA Ventures, The Real Deal reports.
The Canadian investor, which is the real estate investment arm of British Columbia Investment Management Corp. and has about $74B in assets under management, already owned the other 50% of the 42 U.S. student housing properties.
“We took the step to fully acquire the [CA Student Living] business to protect the employees, residents, our assets and other investors that own real estate with CASL,” QuadReal told The Real Deal in a statement.
CA Ventures faces a number of challenges, including reported delays at student housing developments and lawsuits filed by lenders, a former employee and its landlord in Chicago, The Real Deal reports.
CA Ventures, which manages $16B in assets across the U.S. and Europe, didn't respond immediately to a query from Bisnow Friday morning.
QuadReal is hardly alone in its interest in student housing. Major real estate investors have made forays in the sector this year, attracted by the higher rent growth potential than traditional multifamily.
Rent growth in student housing averaged 7.1% nationwide in July, the sixth straight month above 7%, according to a Yardi Matrix report, and student housing pre-leasing reached 90% this year ahead of the beginning of the most recent academic semester.
