The Urban Developer
AdvertiseEventsWebinarsUrbanity
Industry Excellence
Urban Leader
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
Urban Leader Awards Logos RGB White
NOMINATIONS CLOSE SEPTEMBER 12 RECOGNISING THE INDIVIDUALS BEHIND THE PROJECTS
NOMINATIONS CLOSING SEPTEMBER 12 URBAN LEADER AWARDS
LEARN MOREDETAILS
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
12
print
Print
HotelTed TabetThu 24 Sep 20

Scape Student Housing Portfolio Swells to $3.3bn

59b8d590-b18f-45d5-898c-99845d3114a5

In a sign of confidence for the long term fundamentals of the Australian education sector student accommodation provider Scape has merged four facilities into its larger core fund.

Scape has now shifted the assets backed by Dutch groups APG, BouwInvest and Hong Kong’s ICBCI and firm founders, into a new scheme which will see its assets under management lift to $3.3 billion.

The four facilities merged into the larger core fund include a development on Abercrombie Street at The University of Sydney and Scape’s flagship 751-bed property on Swanston Street opposite RMIT University in Melbourne.

Two more facilities at Southbank in Brisbane and at Toowong near the University of Queensland are part of the transaction.

The move brings the Scape Core Fund to a total of 24 facilities—across Adelaide, Brisbane, Melbourne and Sydney—comprising more than 13,000 student beds.

Scape Group managing director Stephen Gaitanos, who will be speaking at The Urban Developer's upcoming student accommodation webinar, said the merger had been underpinned by the depth and quality of its equity partnerships.

“Completing a transaction of this scale and complexity in the middle of Covid-19 was an extraordinary challenge for our operational teams, investment management and legal teams and also our investment partners that have evidenced their confidence in the Australian education sector,” Gaitanos said.

The merger also increases Scape Core Program’s debt facilities from $1.4 billion to $1.8 billion.

▲ Scape also manages two real estate funds developing 18 student accommodation assets across Australia, with an end value of about $4 billion.


The National Pension Scheme of Korea, one of that country's largest pension funds, will also join the core fund as a new investor lodging a $300 million stake.

The South Korean fund joins AXA, Allianz, Bouwinvest and APG as the anchor investors in the Scape Core Fund, after ICBCI exited.

Scape said average returns for its investors across the four development assets had exceeded 20 per cent as an internal rate of return.

The deal follows Scape’s acquisition of Urbanest’s 6,800-bed portfolio, which was struck late last year and approved by the Foreign Investment Review Board in March.

Scape also secured the Atira portfolio, comprising 3,500 beds, originally controlled by fund manager Blue Sky and investment bank Goldman Sachs.

Scape’s national portfolio currently has an average asset age of under 4 years post the consolidation while current occupancy sits at 50 per cent despite the border closures nationally since February.

Scape responded with extensive coronavirus protocols in January, including 14-day isolation management, wellness and security apps, 24-7 concierge, hygiene and security solutions and in-building nurse support across its entire portfolio.

The student accommodation provider is currently developing a further 18 projects including Scape Carlton, a 754 student room development, Scape Franklin Street, comprising 800 student rooms and 125 serviced apartments, and Scape Lincoln Square at Melbourne University with a further 550 rooms.

Scape also recently put forward plans for four purpose-built student accommodation buildings in Kensington and Kingsford, around the University of New South Wales.

ResidentialAustraliaSector
AUTHOR
Ted Tabet
The Urban Developer - Journalist
More articles by this author
website iconlinkedin icon
ADVERTISEMENT
TOP STORIES
Stockland bumps up its apartment pipeline in melbourne and sydney
Exclusive

Stockland Re-Enters Density in $5bn Apartment Play

Renee McKeown
4 Min
Woolloongabba Precinct Vulture St
Exclusive

Brisbane Developer in Cross River Rail Compensation Tussle

Clare Burnett
4 Min
The Mondrian Gold Coast hotel's food and beverage is driving profits
Exclusive

Touch, Taste, Theatre: What’s Driving Mondrian’s Success

Renee McKeown
6 Min
Fortis’ display suites are designed as brand environments first, with tactile details and curated design to build buyer confidence before project specifics.
Exclusive

Relevant or Redundant: Will Tech Kill Display Suites?

Vanessa Croll
7 Min
Exclusive

Missing Heart: Why The Gold Coast Needs a CBD

Phil Bartsch
7 Min
View All >
South Melbourne social housing precinct
Affordable & Social Housing

South Melbourne Housing Precinct Revamp Takes Next Step

Leon Della Bosca
Stockland bumps up its apartment pipeline in melbourne and sydney
Exclusive

Stockland Re-Enters Density in $5bn Apartment Play

Renee McKeown
The Adelaide purpose built student accommodation market is about to increase by 1058 beds with the State Commission Assessment Panel supporting two towers in the making.
Student Housing

Highrise Approvals Add 1000-Plus PBSA Beds in Adelaide

Renee McKeown
The two towers, of 35 and 34 storeys, help cement the SA capital’s growing status as the best place in Australia for the…
LATEST
South Melbourne social housing precinct
Affordable & Social Housing

South Melbourne Housing Precinct Revamp Takes Next Step

Leon Della Bosca
2 Min
Stockland bumps up its apartment pipeline in melbourne and sydney
Exclusive

Stockland Re-Enters Density in $5bn Apartment Play

Renee McKeown
4 Min
The Adelaide purpose built student accommodation market is about to increase by 1058 beds with the State Commission Assessment Panel supporting two towers in the making.
Student Housing

Highrise Approvals Add 1000-Plus PBSA Beds in Adelaide

Renee McKeown
3 Min
JQZ Parramatta EDM
Residential

JQZ Plots 10-Storey Addition to Parramatta ‘Auto Alley’ Plans

Clare Burnett
3 Min
View All >
ADVERTISEMENT
Article originally posted at: https://www.theurbandeveloper.com/articles/scape-student-accommodation-portfolio-swells-to-33bn