Unite Group has reported a 0.7% increase in the value of its property portfolio, to £2.28bn, during the first quarter of 2018.
The Unite Student Accommodation Fund and the London Student Accommodation Joint Venture, which make up the firm’s portfolio, comprise 25,218 beds in 71 properties across 23 university towns and cities in the UK.
LSAV’s investment portfolio was independently valued at £1.17bn, up by 1.4% in the quarter on a like-for-like basis. It encompasses 8,477 beds across 13 properties in London and the Aston Student Village in Birmingham.
Unite said the valuation increases had been driven by rental growth and an average two basis points of yield compression in both portfolios.
The overall USAF portfolio is valued at a blended yield of 5.4% and LSAV’s portfolio valuation yield is 4.7%.
The firm added that 78% of its bed spaces had already been let for the 2018-19 academic year.
Joe Lister, chief financial officer at Unite Students, said: “Unite Students has delivered another strong performance in the first quarter of 2018.
“Reservations for the 2018-19 academic year remain ahead of last year’s run rate and support a positive rental growth outlook.”
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