Student Hotel Receives € 300 Million Funding from APG, Aermont | New
Dutch pension fund manager APG is investing an additional 175 million euros in The Student Hotel (TSH), a European student residential property company.
Amsterdam-based TSH said it has secured â¬ 300 million in funding from its current shareholders Aermont and APG to help support the company’s expansion plan.
APG invests through LaSalle Residential Finance (LRF), a company supported by APG LaSalle Investment Management residential finance fund. In 2013, APG partnered with LaSalle to provide senior debt financing for residential projects and student housing developments.
TSH said the funding will help kick-start construction of seven new flagship hotels in key EU gateway cities and add nearly 3,000 rooms to the existing portfolio.
TSH plans to open three more hotels in 2022, which will allow it to expand its presence in Europe and open more than 1,000 rooms in Madrid, Barcelona and Toulouse.
TSH was launched in 2006 with support from US private equity firm The Carlyle Group. It has also obtained financial support from APG and Perella Weinberg Real Estate.
Charlie MacGregor, CEO of TSH, said: âDespite all the travel restrictions, blockages and educational disruptions for students, we have achieved high occupancy over the past 18 months, even in new markets where we had just opened. This allowed us to weather the Covid crisis stronger. “
Vincent Rouget, Partner at Aermont, said: âThe unprecedented test brought by the pandemic has proven the resilience and less volatile nature of The Student Hotel hybrid business model through its diverse revenue streams.
âWith its unrivaled portfolio of premier properties across Europe and its unique community hospitality experience across generations, TSH is emerging from the pandemic well capitalized and superbly positioned to solidify its leadership position with the generation public. Y and Generation Z â
To read the digital edition of the latest IPE Real Assets magazine, click here.