Aviva Linked Property Fund has put its 466-bed Unite portfolio in Newcastle up for sale.
The firm is seeking offers in excess of £22.7m, reflecting a net initial yield of 5.75%, for Camden Court and Magnet Court.
The student housing schemes serve students at Northumbria university and Newcastle university respectively.
Rent of £1.4m per year is generated from the two sites, which are leased to LDC, a subsidiary of Unite.
Mike Luscombe, fund manager at Aviva Linked Property Fund, said: “We have decided to sell this property as we believe there is an opportunity in the market to generate a good return as a result of the strong investor sentiment that we are seeing for this type of stock.”
Knight Frank Student Housing is advising Aviva.
joanna.bourke@estatesgazette.com
