REG - Unite Group PLC - Unite disposes of two assets for £96 million

UniteAnnouncement

07/10/2019 07:05

RNS Number : 8917O
Unite Group PLC
07 October 2019
 


 
 
PRESS RELEASE
7 OCTOBER 2019
THE UNITE GROUP PLC
('Unite Students', 'Unite', the 'Group', or the 'Company')
 
UNITE DISPOSES OF TWO ASSETS FOR £96 MILLION
 
Unite Students, one of the UK's leading owners, managers and developers of student accommodation, announces the disposal of two wholly owned properties in Coventry, comprising 1,127 beds for £96 million. The properties are being sold to Mapletree Investments Pte Ltd and have both now exchanged and completed. The purchase price is in line with book value.
 
The portfolio comprises two assets in Coventry; Callice Court and Millennium View, which offer 736 and 391 beds respectively.
 
The transaction is in line with Unite's stated strategy of recycling capital through disposals to re-invest into its development pipeline. Unite retains a presence in the city through its Gosford Gate and Raglan House properties, both of which benefit from nominations agreements, demonstrating the strength of Unite's local university relationships.
 
Richard Smith, Chief Executive of Unite Students commented:
"This transaction takes Unite's share of disposals in the year to date to £250 million and supports our ongoing strategy of recycling assets to enhance our portfolio quality and maintain financial discipline. We intend to dispose of approximately £150-200 million of assets per annum over the next three years."
 
ENDS 
For further information, please contact:
Unite Students
Richard Smith / Joe Lister / Paul Richmond                                      Tel: +44 117 302 7005
Powerscourt
Justin Griffiths / Victoria Heslop                                                          Tel: +44 20 7250 1446
 
 
About Unite Students
Unite Students is one of the UK's largest owners, managers and developers of purpose-built student accommodation serving the country's world-leading higher education sector. We currently provide homes for over 50,000 students in circa 130 properties across 22 leading university towns and cities in England and Scotland. Unite also has a strong development pipeline, which will deliver around 5,000 beds in the next three years. 
Our 1,400 people are driven by a common purpose: to provide the students who live with us a 'Home for Success' and to be the most trusted brand in the sector.  We do this through quality service, quality people and quality properties, all designed on the basis of an excellent insight into students' needs and preferences.
Unite's accommodation is high quality, safe and secure, and located where students want to live. Students live predominantly in en-suite study bedrooms with rents covering all bills, insurance, 24-hour security, fortnightly cleaning services and high-speed Wi-Fi. MyUnite, our mobile app, provides practical support such as instant messaging and maintenance requests.
Our commitment to customer service is powered by an innovative, in-house operating platform. It provides a wide range of benefits to our students, such as an optimised online booking process, as well as providing us with a unique ability to drive value from our portfolio through scale efficiencies and revenue management.
Alongside delivering quality service, our other strategic priority is delivering growing and sustainable earnings, underpinned by a strong capital structure.  A key part of this strategy is growing the number of beds let through partnerships with mid and high tariff universities which are experiencing record levels of student demand.  We currently partner with 60 higher education institutions, guaranteeing that approximately 60% of our rooms are let under 'nomination agreements' providing high visibility of forward occupancy and rental growth.
Unite is invested in and operates two specialist funds and joint ventures with institutional investment partners: the £2 billion Unite UK Student Accommodation Fund (USAF), and the £1 billion London Student Accommodation Vehicle (LSAV).
Unite is the founder of and major donor to the Unite Foundation, a charitable trust established to support talented students facing challenging financial circumstances through the provision of free accommodation annual scholarships. The Foundation has so far provided scholarships for 250 young people working in close collaboration with 29 partner universities.
Founded in 1991 in Bristol, Unite Group is an award-winning Real Estate Investment Trust (REIT), listed on the London Stock Exchange and a member of the FTSE 250 Index.
For more information, please visit Unite's corporate website www.unite-group.co.uk, the student site www.unite-students.com or the Unite Foundation www.unitefoundation.co.uk
 




This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
 
END
 
 
DISMIBFTMBMMBBL