Bahrain investor Tadhamon Capital and joint venture partner Apache Capital Partners have paid £26m for a 50% stake in a 590-bed student accommodation block in Suffolk.
The price paid to joint owner Watkin Jones for Athena Hall in Ipswich reflects a 7.3% net initial yield.
The property, which also comprises a number of shops, marks Tadhamon’s first venture into the UK student accommodation sector.
Tadhamon’s chief executive, Waleed Abdulla Rashdan, said: “[student housing] will continue to be resilient in uncertain times, with growing institutional interest. It will allow us to provide secure income generating investment opportunities for our investors, with targeted distributions of 7%-8% annually.”
He added that a second acquisition for a student accommodation scheme in London was in the pipeline for Q1.
Watkin Jones was not represented. Lawson & Partners advised Tadhamon/Apache.
joanna.bourke@estatesgazette.com
