Liberty Living says it is now the second largest student housing provider in the UK following the completion of a €460 mln acquisition from Blackstone.
Initially signalled in December 2016, Liberty has finalised the acquisition of the Union State portfolio, which comprises 13 student accommodation residences with 6,500 beds.
As a result of this transaction Liberty now has 25,000 beds under management in 54 residences across 21 cities.
David Shearer, executive chairman of Liberty Living, commented: 'As a result of this transaction Liberty is now the second largest provider of purpose-built student accommodation in the UK. We have ambitious growth plans to meet the changing demands of the student community.'
The largest provider of purpose-built student accommodation in the UK is Unite Students, which has capacity to house 50,000 students in more than 140 properties across 28 university cities in England and Scotland.
Liberty Living said that the Union State portfolio, predominately focused in the UK, includes accommodation across key university cities, including Birmingham, Liverpool, Manchester, Nottingham and Sheffield. The portfolio also includes a potential development site in London and assets in Germany and Spain.
Liberty intends to rebrand the acquired sites and introduce additional facilities and services. The transaction was funded by Canada Pension Plan Investment Board (CPPIB), Liberty's owner, through its wholly-owned subsidiary CPPIB Liberty Living. Since the original acquisition of Liberty in March 2015, CPPIB has funded acquisitions with a total value in excess of £800 mln, whilst at the same time providing additional funding for the upgrade and refurbishment of its growing portfolio.
Liberty Living also announced the sale of six non-core student residences to funds managed by Henley Investment Management for €58 mln.