Scape to Acquire Student Digs from UTS
SYDNEY, Oct. 1, 2021
SYDNEY, Oct. 1, 2021 /PRNewswire/ -- Leading purpose-built student accommodation provider Scape Australia is set to acquire three of the four housing residences owned by the University of Technology Sydney (UTS) in Sydney, on behalf of Scape's Student Accommodation Core Program with support from its capital partners including Allianz Real Estate, AXA Investment Managers – Real Assets, APG Asset Management, an Asian pension fund, Bouwinvest and Scape's founders.
The properties, known as Geegal, Bulga Ngurra and Gumal Ngurang, are located off-campus in Ultimo and Darlington. They are being sold for an undisclosed amount.
Scape Australia Managing Director and Group CEO, Stephen Gaitanos said:
"We are thrilled to be able to acquire these assets from UTS at this time. Consistent with the Scape portfolio strategy, the location of the assets is prime and we look forward to collaborating more closely with UTS as we begin to welcome students back to Sydney safely.
The UTS portfolio complements our existing Sydney portfolio and will sit alongside our 15 assets, bringing our total Sydney portfolio to 6,300 bedrooms, which remains our largest exposure nationally. The portfolio provides diversification of product and further allows Scape to deliver a wide range of offerings to university students in Sydney. Residents will gain access and opportunities that come with being connected to Scape's wider ecosystem."
Under the terms of the deal, current UTS residents are guaranteed to be able to stay in the three residences for the remaining duration of their accommodation agreements.
UTS students will also have priority rights and other concessions in those residences as well as in other Scape locations, UTS Vice-Chancellor Professor Attila Brungs said.
"We feel our students will be well looked after, with Scape having very generously also offered ten annual scholarships for UTS students over the next four years which will provide for a 50% discount in accommodation fees at Scape residences.
"It will also help the university deal with the financial challenges brought about by the global pandemic in a way that doesn't impact upon our core business of teaching and research," he said.
"We look forward to collaborating with Scape, and continuing to provide our students with access to convenient high quality accommodation."
The sale is subject to government approval and is expected to be completed by the end of the year.
UTS remains the owner and manager of Yura Mudang, a modern on-campus complex of individual studios and shared apartments accommodating over 700 students, which has the capacity to meet the current demand for housing from its students.
Established in 2013, Scape Australia is a fully integrated developer, owner and manager of premium Purpose-Built Student Accommodation (PBSA) and urban living solutions. Scape is the largest owner-operator in Australia with over 16,000 bedrooms across 33 buildings in Adelaide, Brisbane, Sydney and Melbourne operating under the brands Scape, Atira and Urbanest. Scape has a further 10,000 bedrooms in the development pipeline nationally.
Over the past five years, Scape has invested over A$5.5bn in the Australian education and rental housing market and has acquired multiple brands and diversified into numerous lifestyle solutions; extending from affordable living to urban city living.
Having changed the shape of how students and non-students live, work and play, Scape has proven its leading stance in providing world-class accommodation matched with unparalleled service standards.
The University of Technology Sydney (UTS), located in central Sydney, is one of Australia's leading universities of technology. It is known for fusing innovation, creativity and technology in its teaching and research and for being an industry-focused university. With a total enrolment of over 40,000 students, UTS is one of the largest universities in Australia. It is rated No.1 'young' university in Australia in both the QS and Times Higher Education rankings.
SOURCE Scape Group Australia