Temasek unit Mapletree picks two UK student housing properties for $119m

Mapletree Investments, backed by Singapore state investor Temasek Holdings,  has acquired two student housing properties from UK-based Unite Students for $119 million (£96 million), according to a press release.

Unite Students is one of the largest providers of students’ accommodation in the UK.

The two properties, which consist of 1,127 beds, are located in Coventry. This acquisition will bring the Singapore-headquartered Mapletree’s portfolio to 30 properties in 15 cities in the UK. The company aims to leverage the number of university students who enrolled in the UK, especially around Coventry University.

Unite said the disposal of the two assets is aligned to the company’s strategy of recycling its capital and re-investing into its development pipeline.

“This transaction takes Unite’s share of disposals in the year to date to £250 million and supports our ongoing strategy of recycling assets to enhance our portfolio quality and maintain financial discipline. We intend to dispose of approximately £150-200 million of assets per annum over the next three years,” Unite Students chief executive Richard Smith said in a statement.

The Temasek unit, which has $41 billion in global real estate assets under management, aims to strengthen its portfolio and presence in the UK, especially in the students’ housing portfolio.

Mapletree previously acquired 224-bed property assets in Norwich, UK. It also spent $1.6 billion to acquire a student housing property in North America. Mapletree has 50 properties across 33 cities in UK, US, and Canada.