Student accommodation provider Unite (UTG), which has a 22 per cent stake in the Unite UK Student Accommodation Fund (USAF), has announced that USAF, for which Unite acts as manager and operator, has acquired a 2,100 bed portfolio for £271m.
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The purchase will be funded from the £306m proceed's of USAF May equity raise, and will increase its property portfolio by 16 per cent to £1.9bn, comprising of 26,920 beds in 76 properties. Unite's share of incremental earnings, together with additional management and acquisition fees, is expected to add around £2m of cash earnings in the year to December 2015 and around £3m a year thereafter.
