LONDON – December 2024 –Goldman JV strikes £110m deal in return to UK student market.
Assets in Bournemouth and Cardiff were part of AIG’s Halo portfolio. Goldman Sachs Alternatives and student accommodation specialist Generation Partners have acquired a pair of student properties for $140m (£110m).
The assets, located in Bournemouth and Cardiff have a total of 907 student beds, and were part of AIG’s Halo portfolio, known as Project Tower. They are
the 430-bed Skyline development on Oxford Road in Bournemouth and the 477- bed Bridge Street Exchange scheme in Cardiff.
The transaction, which confirms an exclusive report by Green Street News in July, marks Goldman’s re-entry into the UK student market following its exit
through the sale of the iQ Student Accommodation business to Blackstone for £4.67bn in 2020.
Under the new partnership with Goldman, Generation will act as the asset and development manager, while dedicated student accommodation operating
platform Now Student Living will act as property manager.
Generation Partners is a developer, operator and asset manager in the UK and Ireland with nearly £1.25bn of assets under management. Founded by chief
executive Alan Artus and chief operating officer Gareth Davies, the firm is behind some of the sector’s most well-known platforms such as Nido and
Student Living. Now Student Living was founded in 2023 alongside Paul Watson. The platform now has more than 10,000 beds under management across the UK and Ireland.
Alan Artus, CEO of Generation Partners, said: “With our proven track record and deep market expertise, we are well positioned to deliver the maximum
value through innovative investments, and this acquisition exemplifies our dedication to creating exceptional opportunities and driving long-term value for all stakeholders.”
Paul Watson, Co-Founder and Managing Director of Now Student Living, commented: “The addition of these assets to the Now Student Living platform demonstrates our dedication to the expert operation of high-quality, well-managed accommodation in prime locations, tailored to meet the diverse needs of a broad student demographic. By leveraging a talented team of sector professionals, we aim to enhance the student living experience, while ensuring a better service for both students and our strategic investment partners.”
Chris Semones, managing director for real estate at Goldman Sachs Alternatives, said: “We are excited to re-enter the student market and work with
Generation on the acquisition of Skyline and Bridge Street Exchange, two high-quality PBSA assets in Bournemouth and Cardiff respectively. This investment
fits well with our continued conviction in the UK PBSA sector, which is supported by favourable demographic tailwinds and supply/demand
fundamentals.”
Savills advised AIG on the disposals, as well as the formation of the joint venture between Goldman and Generation.
ENDS
